Alibaba Sells $10.2 Billion in New Shares for AI, Stock Falls 8%

Alibaba sold HK$80 billion (US$10.2 billion) in new shares on August 24, 2026, to fund AI infrastructure. The stock fell 8% because more shares mean each existing share is worth a smaller slice of the company. This adds to a three-year, $53 billion AI-and-cloud spending plan that already cut quarterly profit 75% from a year ago, even as cloud revenue jumped 45%.