Yahoo Finance Live’s Julie Hyman discusses the rise in stock for Alibaba following the company’s plans for a seismic split.
Video Transcript
JULIE HYMAN: Shares of Alibaba up very slightly in the premarket on news the group is considering giving up control of some of its business units. Earlier this week, Alibaba announced it would split into six separate companies each with their own board and CEO. And then in a call yesterday, they gave a bit more detail.
Executives added that Alibaba will decide whether to retain control of those individual companies after they go public. The news of those possible spin offs, or sell offs, or public debuts, it comes more than two years after Beijing's crackdown on tech giants wiped out around $1 trillion in market value of top companies. So Alibaba shares have been rising since it announced this plan and it has been fluctuating a little bit in today's session right now in the green.
