To spur growth for the brands Lazada and AliExpress,Alibaba's international online retail division is contemplating a U.S. IPO.
Around $9.5B, or 7% of Alibaba's total income, came from the International Digital Commerce Group (IDCG) during the previous fiscal year.
- The IPO size for the unit is yet to be determined, with valuations ranging from $29B (Morgan Stanley) to $39B (CICC).
- In Q4 2022, the unit's total orders from Lazada, AliExpress, Trendyol, and Daraz increased by 3% yearly.
- Alibaba's subsidiaries, Cainiao Network Technology Co. (the logistics arm of Alibaba) and Freshippo (its grocery chain), have begun the process of IPOs in Hong Kong.
- In 2022, Alibaba considered raising $1B for Lazada before halting negotiations due to disagreements over its value, having bought it from Rocket Internet SE and competing with Amazon and Sea Ltd.'s Shopee in Southeast Asian markets.
