Alibaba approves cloud computing unit spin-off, prepares for grocery and logistics arms to go public

HONG KONG (AP) — Chinese e-commerce company Alibaba Group Holding on Thursday said that it plans to spin-off of its cloud computing unit and that its logistics and grocery units would begin exploring initial public offerings, as the e-commerce firm kickstarts a restructuring process of its businesses aimed at spurring growth. The company in March announced plans to restructure into six business units with plans to allow all but its core e-commerce business to raise external capital and go public to maximize value for shareholders. Alibaba CEO Daniel Zhang said that the Alibaba plans to fully spin off its cloud computing unit and complete a public listing in the next 12 months. Zhang also said that Freshippo, its groceries arm as well as logistics arm Cainiao are “ready to go public.”