Alibaba receives Hong Kong exchange approval to spin off chip unit T‑Head, filing confidential IPO for 2027

Alibaba Group announced that the Hong Kong Stock Exchange has approved its plan to spin off its wholly‑owned semiconductor subsidiary T‑Head. The unit filed a confidential A1 listing application on 11 September 2026 and will remain an Alibaba subsidiary after the listing. The proposed Hong Kong offering could raise between $2 billion and $3 billion, though the size and structure of the offering have not been finalised.

The spin‑off would give investors a direct way to value T‑Head’s AI chip business and could provide Alibaba with up to $3 billion of new capital if the IPO proceeds, according to the range cited by the company’s announcement (see). The approval also removes the requirement to grant existing shareholders guaranteed entitlement to T‑Head shares, simplifying the transaction (see).

  • 1The Hong Kong Stock Exchange approved Alibaba’s spin‑off and separate listing of T‑Head.
  • 2T‑Head filed a confidential A1 listing application on 11 September 2026.
  • 3The proposed offering could raise $2 billion‑$3 billion.
  • 4T‑Head will remain a wholly‑owned subsidiary of Alibaba after the spin‑off.
  • 5The size, structure and Alibaba’s post‑listing stake are not yet determined.
  • 6Alibaba received a waiver from the exchange on providing existing shareholders a guaranteed entitlement to T‑Head H‑shares.

Sources