Why Shares of Alibaba Are Flying This Week

Shares of the large Chinese tech conglomerate Alibaba Group (NYSE: BABA) had blasted nearly 20% higher this week as of 1:09 p.m. ET Thursday, according to data from S&P Global Market Intelligence. The move comes after Alibaba announced that it is planning a major restructuring effort that will see the massive company split into six different parts and potentially involve numerous initial public offerings. Earlier this week, Alibaba announced that it plans to reclassify into a holding company and then split into six different divisions to house its various businesses including its cloud intelligence group, Taobao Tmall commerce group, local services group, Cainiao smart logistics group, global digital commerce group, and digital media and entertainment group.