Alibaba Raises $3.2 Billion with Convertible Bond to Expand Cloud and AI Business
Sep 11, 2025
Alibaba Group has announced and priced an offering of approximately $3.2 billion in zero-coupon convertible senior notes due in 2032. The notes are being sold to certain non-U.S. investors through offshore transactions.
The company plans to use the funds to boost its cloud computing infrastructure and accelerate its international business expansion. This move comes shortly after Alibaba reported that its artificial intelligence (AI) revenue had doubled over the past year.
This is the largest offering of zero-coupon convertible bonds of its kind worldwide in 2024 so far. Alibaba recently completed similar fundraising activities in July 2024 and May 2023.
What is a zero-coupon convertible note?
It is a type of bond that does not pay interest but can be converted into company shares at a later date.
Why is Alibaba raising more money?
Alibaba aims to use the funds to expand its cloud computing business, strengthen its international presence, and increase its investment in artificial intelligence.
Will this offering affect Alibaba’s stock price?
The articles mention a positive price movement after the announcement, but they do not provide detailed information on long-term stock effects.
Sources
Alibaba Group Announces Proposed Offering of Approximately US$3.2 Billion of Zer...
Business Wire
Business Wire
HONG KONG--(BUSINESS WIRE)--Alibaba Group Holding Limited (NYSE: BABA and HKEX: 9988 (HKD Counter) and 89988 (RMB Counter), “Alibaba,” “Alibaba Group” or the “Company”) today announced a proposed offering (the “Notes Offering”) of approximately US$3.2 billion aggregate principal amount of Zero Coupo...
Alibaba seeks to raise $3.2 billion via convertible notes to boost cloud capabil...
Reuters
Reuters
China's Alibaba , is looking to raise about $3.2 billion in a zero-coupon convertible note offering to strengthen its cloud infrastructure and expand its international business, the company said on Thursday.
Alibaba to raise $3.2bn in record bond deal to fuel cloud and AI push
Proactive Investors
Proactive Investors
Alibaba Group (NYSE:BABA) has unveiled plans to raise $3.2 billion through a zero-coupon convertible bond, the biggest such issue globally this year. The fundraising, which follows similar deals by the company in July 2024 and May 2023, is aimed at accelerating international expansion and reinforcin...
Alibaba Goes Big on AI With $3.2 Billion Convertible Bond. The Stock Is Rising.
Barrons
Barrons
The issuing of convertible notes comes just over a week after the online retailer said AI revenue had doubled over the past year.
Alibaba Group Prices Approximately US$3.2 Billion Offering of Zero Coupon Conver...
Business Wire
Business Wire
HONG KONG--(BUSINESS WIRE)--Alibaba Group Holding Limited (NYSE: BABA and HKEX: 9988 (HKD Counter) and 89988 (RMB Counter), “Alibaba,” “Alibaba Group” or the “Company”) today announced the pricing of its offering (the “Notes Offering”) of approximately US$3.2 billion aggregate principal amount of Ze...
Alibaba shares rise after it reveals new AI model, Qwen-3
CNBC Television
CNBC Television
CNBC's MacKenzie Sigalos reports on the latest news regarding Alibaba.
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Invezz
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Alibaba shares rallied on Friday after the Chinese technology giant unveiled a series of initiatives to expand its artificial intelligence and cloud capabilities, reinforcing investor confidence in its long-term growth trajectory. The company's Hong Kong-listed stock rose 5.9% to HK$151.80, equivale...
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