07:28 AM EDT, 09/17/2025 (MT Newswires) -- Alibaba Group ( BABA ) said Tuesday that it completed a $3.2 billion offering of zero-coupon convertible senior notes due 2032.

Net proceeds from the offering will be used to strengthen cloud infrastructure and international commerce operations, as well as for general corporate purposes.

The conversion rate for the notes is set at 5.1773 American depositary shares per $1,000 principal amount of notes, which is equal to an initial conversion price of about $193.15 per American depositary share, the company said.

Alibaba ( BABA ) also entered into capped call transactions that raise the effective conversion price of the notes to $235.46 per American depositary share, it said.

Shares of the company were up 2.4% in recent Wednesday premarket activity.