Alibaba’s cloud backbone is considering seeking up to RMB 20 billion ($2.8 billion) in funding from state-owned firms before proceeding with a Hong Kong IPO, as reported by Bloomberg, citing sources on Monday. The report noted that state-owned telecommunications companies may be among potential investors; however, Alibaba Cloud later responded with “no comment” on the fundraising matter to Chinese media outlets. In May of this year, Alibaba announced its plans to spin off the division within 12 months by distributing dividends to shareholders, nearly two months after the tech giant split itself into six independent business groups. [Bloomberg]

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