- Delay to answers questions posed by the Securities Exchange Commission
- Alibaba could start selling its shares at the NYSE on September 18 or 19
- The IPO is expected to be marketed in both North American and European markets
NEW YORK - Chinese e-commerce giant Alibaba is due to be listed under the ticker BABA in the United Unites but the initial public offering (IPO) may have been pushed back by about a week so that the company answers some questions posed by the Securities Exchange Commission (SEC) first
According to media reports citing people familiar with the matter, Alibaba could start selling its shares at the New York Stock Exchange (NYSE) on September 18 or 19.
The company will be trading under the ticker "BABA". In Chinese, the word "ba" means eight, which is considered a lucky number in China.
The firm is touted to raise some $20 billion from its public offering. This is considered one of the largest in the US IPO history.
In May 2012, Facebook Inc raised $16 billion from its debut.
If Alibaba plan succeeds, its IPO offering will also eclipse Visa Inc.'s IPO offering of $19.65 billion in 2008.
Analysts polled by Bloomberg tagged a mean value of $198 billion to the company.
The IPO is expected to be marketed in both North American and European markets. Given the size of the IPO, pricing it appropriately becomes even more important.
The company has not given an indication of the price or number of shares with which it wants to go public.
According to online tech portal www.opptrends.com, Alibaba delayed the launching of its IPO because investors are on their summer vacations, and the company still needs to obtain the final feedback from the US SEC.
The ongoing discussion with the commission is expected to conclude next week.
The company amended its IPO filing and added information regarding unusual corporate structure, which gives authority to a group of partners to nominate a majority of its board.
Alibaba disclosed the name of its 27 partners including its founder and executive chairman Jack Ma. Alibaba updated its filing in response to the request of the commission and investors, according to the sources.
The commission has to give its nod to the Chinese e-commerce giant's documents related to its IPO before it can set the price and launch date of its public offering.
Alibaba is expected to conduct a two-week roadshow to pitch its IPO to individual and groups of big investors in Asia, Europe and United States.
The company will start its roadshow in Hong Kong, according to people with knowledge about the situation.
According to the initial plan, the roadshow was to start in the second week of September with possible IPO listing near the 20th. With the postponement of the roadshow, investors should expect Alibaba to make its IPO debut near the end of the month.
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