Alibaba, the Chinese e-commerce giant owned by Jack Ma, has lost 26 billion in the Hong Kong capital market quickly following the news of the arrest of a man named Ma in Hangzhou. According to reports, Chinese state media reported on May 3 that a man named Ma had been arrested in Hangzhou for allegedly violating national security. The article is about Alibaba Lost 26bn On Rumors of Jack Ma’s Arrest.
Alibaba is headquartered in Hangzhou. Shares of the e-commerce company fell 9.4 percent in the Hong Kong capital market after news broke of the arrest of a man. China’s state-run media, CCTV, said the man, arrested on April 25 on suspicion of taking part in “anti-China” propaganda, had been taken into custody.
The report further said that the news of this one sentence from CCTV spread quickly in China’s media, causing panic in the Hong Kong capital market. As a result, Alibaba’s share price plunged as much as 26 billion in minutes.
Hu Shijing, Former Editor-in-Chief of China’s state-run Global Times, described the news on the country’s social networking site Weibo as “misleading” and said the word “Ma” was associated with Alibaba Co-founder Jack Ma.
To read more articles from Business Cloud, Please Click Here!
