Alibaba's Cainiao Logistics Division Prepares For IPO By 2023

Alibaba Group Holding Limited's BABA logistics arm Cainiao Network Technology Co is gearing up for its Hong Kong initial public offering, becoming the first Chinese tech firm's six business units to go public.
Alibaba has tapped banks, including China International Capital Corp Ltd CNICF and Citigroup, Inc C, to prepare for the IPO, Bloomberg reports.
The firm, worth over $20 billion, is targeting an IPO by 2023 end.
Also Read: Alibaba's Split Sparks Layoff Concerns, CEO Zhang Authority Weakens As He Failed To Boost Share Price
Alibaba this week shared plans to split its $250 billion business into six main units encompassing e-commerce, media, and the cloud.
Each business will explore fundraising or IPO.
Alibaba will gradually explore giving up control of some of its main businesses, CEO Daniel Zhang said on a conference call on Thursday.
Cainiao, which promises to deliver packages in China within 24 hours and anywhere else in the world in 72 hours, clocked 27% year-on-year revenue growth in Q3 to 16.6 billion yuan ($2.4 billion).
Mizuho analyst James Lee reiterates Alibaba with a Buy and maintains a $155 price target.
Price Action: BABA shares traded higher by 3.79% at $103.71 on the last check Thursday.
Photo by Rico Shen via Wikimedia