Chinese e-commerce giant Alibaba’s recent Initial Public Offering (IPO) made many investors very rich – including our very own Khazanah Nasional Berhad (Khazanah), which walked away with more than RM3.5 billion in profit.
While 1Malaysia Development Berhad (1MDB) is suffering from losses and accusations of lack of transparency, Khazanah, the Federal Government’s other investment arm, grew out its USD400 million (RM1.43 billion) investment in Alibaba into a tidy profit.
Khazanah’s 2014 financial report states that its investments in Alibaba over the past two years has given it a 0.6% share in the company.
Following the positive returns, TechInAsia reports that Khazanah plans to increase its holdings in the US tech sector – something it had already been eyeing since opening an office in San Fransisco in 2013.
Khazanah was not the only player to make a killing with the IPO – Yahoo! made off with a massive USD.94 billion (RM33.56 billion) profit from Alibaba shares, and Singapore’s Temasek Holdings and the China Investment Corporation (CIC) also have their own stakes in the company.
