Alibaba, Aramco share sale bonanza fails to produce fee windfall for banks

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Alibaba, Aramco share sale bonanza fails to produce fee windfall for banks
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A late-year rush of giant global share sales led by Alibaba's $13 billion H...

HONG KONG - A late-year rush of giant global share sales led by Alibaba’s $13 billion Hong Kong listing and Aramco’s $26 billion initial public offering is failing to deliver an equivalent payday for equities bankers.

Filings on Thursday revealed 17 banks will split up to $32.3 million for Alibaba Group’s Hong Kong deal, which will raise up to $12.9 billion for the Chinese e-commerce giant. The numbers pale in comparison to the $300 million banks made from Alibaba’s own record IPO of $25 billion in 2014. The record fee payout was the $550 million banks earned for the $19.6 billion IPO of Visa in New York in 2008.

Worldwide, companies have sold shares worth $574.7 billion so far this year, according to Refinitiv data, 19.7% below levels this time last year. Those figures include Alibaba but not Aramco, which is yet to price its deal.

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