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December 10, 2010, 4:13 AM EST
By Mark Lee
(Updates with CEO’s comment in second paragraph.)
Dec. 10 (Bloomberg) -- Alibaba.com Ltd. Chief Executive Officer David Wei said he is “dissatisfied” with the performance of the company’s stock, and plans to freeze pay for senior management at the owner of China’s biggest online- commerce site.
“Some investors are dissatisfied about the stock’s performance, and not only them, the management is also dissatisfied,” Wei said at Alibaba’s shareholders meeting in Hong Kong today. The company will regularly review its dividend policies and buy back stock to lift investor returns, he said.
Alibaba.com shares have declined 22 percent in Hong Kong trading this year, underperforming stocks of Chinese Internet rivals Baidu Inc. and Tencent Holdings Ltd. Wei is seeking to boost sales of advertising and trade-related services to counter slowing growth in customer additions.
The e-commerce company rose 4.3 percent to HK$13.96 today, after announcing a special dividend payment of 22 Hong Kong cents a share.
Alibaba.com shares have trailed the 8.1 percent gain for the shares of Tencent, China’s biggest Internet company, and a more than doubling in the stock of Baidu, the country’s biggest search-engine operator.
The proposed special dividend will cost Alibaba.com HK$1.1 billion ($142 million), the company said in a statement to the city’s stock exchange today. Alibaba.com had 8.36 billion yuan ($1.3 billion) of cash and bank balances as of Sept. 30.
--Editors: Anand Krishnamoorthy, Vipin V. Nair.
To contact the reporter on this story: Mark Lee in Hong Kong at wlee37@bloomberg.net
To contact the editor responsible for this story: Young-Sam Cho at ycho2@bloomberg.net
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(Updates with CEO’s comment in second paragraph.)
Dec. 10 (Bloomberg) -- Alibaba.com Ltd. Chief Executive Officer David Wei said he is “dissatisfied” with the performance of the company’s stock, and plans to freeze pay for senior management at the owner of China’s biggest online- commerce site.
“Some investors are dissatisfied about the stock’s performance, and not only them, the management is also dissatisfied,” Wei said at Alibaba’s shareholders meeting in Hong Kong today. The company will regularly review its dividend policies and buy back stock to lift investor returns, he said.
Alibaba.com shares have declined 22 percent in Hong Kong trading this year, underperforming stocks of Chinese Internet rivals Baidu Inc. and Tencent Holdings Ltd. Wei is seeking to boost sales of advertising and trade-related services to counter slowing growth in customer additions.
The e-commerce company rose 4.3 percent to HK$13.96 today, after announcing a special dividend payment of 22 Hong Kong cents a share.
Alibaba.com shares have trailed the 8.1 percent gain for the shares of Tencent, China’s biggest Internet company, and a more than doubling in the stock of Baidu, the country’s biggest search-engine operator.
The proposed special dividend will cost Alibaba.com HK$1.1 billion ($142 million), the company said in a statement to the city’s stock exchange today. Alibaba.com had 8.36 billion yuan ($1.3 billion) of cash and bank balances as of Sept. 30.
--Editors: Anand Krishnamoorthy, Vipin V. Nair.
To contact the reporter on this story: Mark Lee in Hong Kong at wlee37@bloomberg.net
To contact the editor responsible for this story: Young-Sam Cho at ycho2@bloomberg.net
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