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Alibaba's Ma, Tsai to buy back US$500m in shares
[SHANGHAI] Alibaba Group Holding Ltd said on Monday Chairman Jack Ma and Vice Chairman Joe Tsai have agreed to buy back a combined US$500 million in company shares, part of a US$4 billion stock repurchase scheme announced in August.
The buyback comes as the e-commerce firm's shares languish at US$66.91, more than a dollar off their IPO price of US$68, and as it struggles with slowing growth and a gloomy outlook for the Chinese economy.
Sina News reported that Ma and Tsai had signed an agreement to use their private funds to repurchase shares worth US$500 million. An Alibaba spokesman confirmed the news but declined to give details.
In August, Alibaba announced the US$4 billion share repurchase programme which would take place over two years and was aimed at offsetting the impact of its share-based compensation programmes.