Alibaba founders Jack Ma and Joe Tsai have set up charitable trusts funded by share options in the company, seeking to position themselves among the world’s best-known philanthropists such as Bill Gates and Warren Buffett.
The two trusts will together receive share options equal to around 2 per cent of Alibaba’s equity, which are likely to be worth more than $2bn. The company is preparing to launch its initial public offering in the US soon, in a deal that may be the largest in history at up to $25bn. Valuations for the company vary, but figures of $125bn-150bn are common among investors and analysts.
Mr Ma said in a press release that the trusts will focus on battling pollution and improving healthcare in China, and that he hoped to inspire others “to join us in our philanthropic efforts”.