ALBAWABA - Alibaba revealed plans to split its empire, worth about $220 billion, into six units, Bloomberg reported on Tuesday.
According to the Chinese company, five of the six units will focus on fundraising or initial public offerings.
Chinese tech giant Alibaba plans to split its business into six independently run entities, the biggest structural overhaul in its history—announced a day after co-founder Jack Ma returned to mainland China after almost a year overseas. https://t.co/0KzfmUQ1H5— Newley Purnell (@newley) March 28, 2023
In a statement released by Alibaba, the six units are Cloud Intelligence Group, Taobao Tmall Commerce Group, Local Services Group, Cainiao Smart Logistics Group, Global Digital Commerce Group and Digital Media and Entertainment Group.
It continues that each unit will have its own CEOs reporting to each of their boards of directors and be fully responsible for their performance.
Nevertheless, current Chairman and Chief Executive Daniel Zhang will continue to oversee Alibaba Group which will become a holding company, according to The Wall Street Journal.