Alibaba's $10.2B AI share sale: stock sinks 10%
Alibaba priced an HK$80 billion ($10.2 billion) placement of 710 million new shares at an 8.4% discount to Friday's close, and Hong Kong investors knocked the stock down 10%. Proceeds go entirely into AI infrastructure, the very spending that crushed June-quarter profit by 75% and pushed capex up 75%. Dilution today, AI dominance tomorrow: Alibaba is betting the full-stack cloud and model push outruns the near-term pain.