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Alibaba shares surge on share buyback, boosting holder Scottish Mortgage Investment Trust

The share price of the online retailer soared 11% after it upped its share buyback programme, giving another boost to major shareholder Scottish Mortgage Investment Trust

Alibaba Group (NYSE:BABA) shares rose more than 11% after it announced a major buyback programme, boosting Scottish Mortgage Investment Trust PLC (LSE:SMT) (SMT), a major shareholder.

About 5.8% of Scottish Mortgage's funds are invested in the Chinese retailer – the FTSE 100-listed trust's single biggest holding.

Hong Kong-listed shares of the Chinese e-commerce giant surged after announcing it would raise its buyback programme from US$15bn to US$25bn over the next two years.

Since hitting an all-time high in October 2020, the Hangzhou-headquartered e-commerce giant's stock has lost around two-thirds of its value.

Shares in SMT were largely unchanged at 1,012p in morning deals.

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