Alibaba (BABA.US) trades under pressure in the US pre-market session following reports that Shanghai Stock Exchange suspended IPO of Ant Group, affiliate of Alibaba. Ant Group was expected to go public on Thursday, November 5. The IPO price of HK$80 valued the company at over $300 billion! Moreover, the IPO order book reportedly stood at around $3 trillion! Projected IPO sale proceeds of $34.5 billion would dethrone Saudi Aramco's $25 billion offering and make it the largest public debut in history. Shanghai Stock Exchange said that conditions for listing were not met following the latest regulatory changes. Ant Group confirmed later that the Hong Kong IPO was also suspended (company planned a dual-listing in Shanghai and Hong Kong). Alibaba trades around 8% lower in the US pre-session trading.
Alibaba plunged to around $285 in today's pre-market trading on Ant Group IPO suspension. The closest support level can be found at $265. Source: xStation5
