Channel surfing often leads me to the pbs station, 49-3 where I listen to such programs as RT news, China Beat, Taipei Outlook, and recently, Biz Asia News. The name Alibaba had been in the news previously, but this past Thursday the excitement in the air was palpable as they talked about the IPO being listed on the New York Stock Exchange and opening at $68.00 per share Friday morning, but expected to shoot up to $100.00 a share very quickly. This company was developed by a former school teacher, Jack Ma, in Hong Kong and for a short time it was listed on the Chinese stock exchange, but then taken off, and when Mr. Ma tried to get it back there it was rejected, so he went forward with plans to open in New York. It may later be on both New York and China’s exchanges. They showed several of Alibaba’s buildings in Hong Kong and explained how it was the Chinese version of Amazon, mixed with Google and E-bay. There are about four off shoots of the business all tied together.
It didn’t take a lot more information for me to catch the fervor and at 11:30 p.m. when the program was over, I went directly to the telephone (land line) in my kitchen and called my boss and Financial Planner, Colleen, leaving a message on her voice mail that I just heard about Alibaba and got to thinking maybe I needed to get onto the band wagon. It has been a very long time since I thought of investing in any stock so I said that if I had some money in my account there, I would like to get, say ten shares, if I could, adding that if she thought this was not a good idea, she should just disregard the call.
Friday afternoon when I returned home from my first gathering of buckeyes for the season, there was a response from Colleen on my answering machine saying she knew exactly what I was talking about and that by the time she got back from her morning meetings the stock was already up to $98.00 a share and that usually when they start too high, they fall back a little and I could tell from her level headed talking that she was not as excited as I was about Alibaba, but she said we should talk about it Monday.
Sure enough that evening the program did say they expect the market to adjust a bit from the high start on the share price.