Alibaba logistics unit Cainiao files for HK listing

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Cainiao Smart Logistics, a subsidiary of Alibaba Group, has submitted a filing for its planned IPO on the main board of the Hong Kong Stock Exchange.

Cainiao is a logistics platform that provides services for ecommerce, cross-border trade, cloud computing, and smart supply chain management.

According to its filing, the firm generated US$10.7 billion in revenue for its 2023 fiscal year, up 16.4% compared to the same year-ago period.

Meanwhile, gross profit for FY 2023 landed at US$1.1 billion. Loss for the year stood at US$383.5 million, marking a 22.5% increase from FY 2022.

The company also shared that for FY 2023, its total cross-border parcel volume exceeded 1.5 billion, serving over 100,000 merchants and brands.

Citing data from GIC, Cainiao said it has an 8.1% market share in global cross-border logistics in terms of parcel volume, ranking it at the top. Names of the other companies were not disclosed.

For premium ecommerce logistics companies – which it defines as those with higher investments in operational capabilities – Cainiao ranked third with a market share of 16.4%.

See also: Why Alibaba should spin off Lazada

Cainiao is not the only Alibaba arm seeking an IPO. The ecommerce major is set to pursue a listing for Alibaba Cloud by May of next year.