The Strategist

Alibaba shares jump 9% after Jack Ma's appearance in Spain

10/21/2021 - 08:16

Alibaba shares in Hong Kong jumped 8.8 per cent after the media reported on founder Jack Ma's first overseas trip of the year. According to Hong Kong's East Week, Jack Ma spent a weekend in Spain, where he travelled by his own plane.

Jolanda Flubacher via flickr
Jolanda Flubacher via flickr
The publication's sources claimed that in Spain he boarded his own yacht worth about $200 million, where his friends and business partners were invited. However, the South China Morning Post, owned by Alibaba, reports that Mr. Ma did not travel to Spain for a holiday. It was allegedly a study trip related to the use of high-tech in the agricultural sector and environmental issues.

Jack Ma has virtually stopped appearing in public since Chinese authorities launched an aggressive campaign against Alibaba last November, banning the IPO of its fintech unit Ant Group Corporation, then imposing a series of fines on the company and forcing it to restructure its business. All this was triggered by Mr. Ma's harsh remarks in October 2020 about the Chinese Communist Party's business policies.

Alibaba's shares were also boosted on Wednesday by the unveiling of its new Yitian 710 server chip, which is expected to be the backbone of the corporation's cloud infrastructure. The company does not intend to sell the chip directly, but customers will be able to take advantage of Alibaba's cloud services powered by the chip. The company has not yet specified exactly when services based on Alibaba's latest processor will become available to customers.