Cainiao, Alibaba’s logistics division, revealed on February 27 that the Alibaba Group has acquired all remaining shares held by Cainiao’s minority shareholders. Additionally, the company announced a revised plan for employee stock options, shifting from a one-time buyout to long-term cash incentives. Under the new scheme, employees’ stock options will be converted into cash incentives, with the purchase price set at $0.62 per option.
For instance, an employee who joined Cainiao in January 2024 with an offer of 10,000 stock options will begin receiving long-term cash incentives starting January 2026. The incentives will include an initial payment of $3,100 for the first $5,000, followed by $1,125 annually for the next two years.
In early March 2024, Alibaba also announced the cancellation of Cainiao’s planned IPO in Hong Kong. Instead, the company will offer minority shareholders the opportunity to sell their shares at $0.62 per share, potentially resulting in a total payout of up to $3.75 billion.
Source: [iThome, in Chinese]
