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Irish investors clean up on Alibaba public listing

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Alibaba's founder Jack Ma at the New York Stock Exchange before his company's initial public offering

Alibaba's founder Jack Ma at the New York Stock Exchange before his company's initial public offering

REUTERS

Alibaba's founder Jack Ma at the New York Stock Exchange before his company's initial public offering

A group of Irish investors are sitting on profits worth millions of euro after backing the Chinese technology giant Alibaba.

Davy Private Client are understood to have put together a group of investors who invested about €20m in funds managed by private equity firm Silver Lake Partners. Silver Lake was one of the biggest supporters of Alibaba, pumping about $825m into it in a number of tranches over several years.

The company has made about $4.6bn profit after Alibaba listed on the New York Stock Exchange last Friday.

Shares in the company jumped by more than a third within minutes of going public. The shares closed at $93.89 after opening at $68.

The Irish investors that were assembled by Davy are thought to have numbered in the "tens rather than hundreds".

The consortium put in about €20m into the Silver Lake fund, which also invested in another Chinese retailer - JD.com.

JD.com went public in May and the move has been a success so far.

That firm's shares priced at $19 a share when it began trading. Those shares had since gone up to $28.35 by the close of trading last Friday.

Alibaba was one of the biggest listings in history, valuing the firm at $231bn.

Irish Independent