Write a summary with a insightful and critical thinking referenced from the news article posted below.
Article: Alibaba Plans Up to $5 Billion Bond Sale
Alibaba Group Holding Ltd. BABA +3.76% plans to sell billions of dollars of bonds, in what will be a test of investor appetite after the e-commerce giant’s recent run-ins with Chinese authorities. In a brief statement late Tuesday, Alibaba said it planned to issue dollar debt, including some bonds to fund sustainability-related projects, subject to market conditions. It said the deal’s total size hadn’t been fixed, nor had the bonds’ maturities, interest rates or other terms.
The deal could total up to $5 billion and include bonds with maturities as long as 40 years, according to a notice sent to investors by one of the banks handling the sale. The message was sent on Wednesday morning Hong Kong time and was seen by The Wall Street Journal.
Alibaba shares have swung sharply in recent months, after a speech in October by founder Jack Ma prompted Chinese President Xi Jinping to call off the blockbuster listing of Ant Group Co., the company’s financial-technology affiliate.
In December, Chinese authorities launched an antitrust probe into Alibaba and fined it and rivals for product pricing that misled consumers. Mr. Ma has largely vanished from public life, but resurfaced briefly in January in a video appearance, helping boost Alibaba’s stock. On Tuesday, Alibaba reported forecast-beating quarterly results, with earnings rising 52% to the equivalent of $12.3 billion, as sales surged 37%. Chief Executive Daniel Zhang told investors that Alibaba has set up a task force to review some of its businesses in response to the antitrust probe, and said it was ready to take on more social responsibility.
Alibaba has borrowed substantially from international bond markets. It sold $8 billion of dollar bonds in 2014, the same year it went public on the New York Stock Exchange, and another $7 billion of dollar-denominated debt in 2017.
In recent years, Alibaba’s bonds have generally risen in price as part of a wider market rally, pushing down yields and effectively reducing the cost of any new borrowing for Alibaba. However, yields have risen somewhat in recent months as rates on benchmark Treasury bonds have increased, and as Alibaba has faced other challenges. Yields on Alibaba’s 2027 bonds fell to a low of slightly more than 1.3% in August, before rising to nearly 2.1% in January. They yielded 1.73% Tuesday, according to Refinitiv. Alibaba has solid investment-grade credit ratings, with an A1 rating from Moody’s Investors Service and similar A+ grades from Fitch Ratings and S&P Global Ratings. Units of Citigroup, Credit Suisse, Morgan Stanley, JPMorgan and China International Capital Corp. are bookrunners for the bond sale.
Reference: Webb, Q. (2021, February 03). Alibaba plans up to $5 billion bond sale. Retrieved February 04, 2021, from https://www.wsj.com/articles/alibaba-plans-up-to-5-billion-bond-sale-11612330820?mod=tech_lead_pos7
We provide professional writing services to help you score straight A’s by submitting custom written assignments that mirror your guidelines.
Get result-oriented writing and never worry about grades anymore. We follow the highest quality standards to make sure that you get perfect assignments.
Our writers have experience in dealing with papers of every educational level. You can surely rely on the expertise of our qualified professionals.
Your deadline is our threshold for success and we take it very seriously. We make sure you receive your papers before your predefined time.
Someone from our customer support team is always here to respond to your questions. So, hit us up if you have got any ambiguity or concern.
Sit back and relax while we help you out with writing your papers. We have an ultimate policy for keeping your personal and order-related details a secret.
We assure you that your document will be thoroughly checked for plagiarism and grammatical errors as we use highly authentic and licit sources.
Still reluctant about placing an order? Our 100% Moneyback Guarantee backs you up on rare occasions where you aren’t satisfied with the writing.
You don’t have to wait for an update for hours; you can track the progress of your order any time you want. We share the status after each step.
Although you can leverage our expertise for any writing task, we have a knack for creating flawless papers for the following document types.
Although you can leverage our expertise for any writing task, we have a knack for creating flawless papers for the following document types.
From brainstorming your paper's outline to perfecting its grammar, we perform every step carefully to make your paper worthy of A grade.
Hire your preferred writer anytime. Simply specify if you want your preferred expert to write your paper and we’ll make that happen.
Get an elaborate and authentic grammar check report with your work to have the grammar goodness sealed in your document.
You can purchase this feature if you want our writers to sum up your paper in the form of a concise and well-articulated summary.
You don’t have to worry about plagiarism anymore. Get a plagiarism report to certify the uniqueness of your work.
Join us for the best experience while seeking writing assistance in your college life. A good grade is all you need to boost up your academic excellence and we are all about it.
We create perfect papers according to the guidelines.
We seamlessly edit out errors from your papers.
We thoroughly read your final draft to identify errors.
Work with ultimate peace of mind because we ensure that your academic work is our responsibility and your grades are a top concern for us!
Dedication. Quality. Commitment. Punctuality
Here is what we have achieved so far. These numbers are evidence that we go the extra mile to make your college journey successful.
We have the most intuitive and minimalistic process so that you can easily place an order. Just follow a few steps to unlock success.
We understand your guidelines first before delivering any writing service. You can discuss your writing needs and we will have them evaluated by our dedicated team.
We write your papers in a standardized way. We complete your work in such a way that it turns out to be a perfect description of your guidelines.
We promise you excellent grades and academic excellence that you always longed for. Our writers stay in touch with you via email.