Alibaba Group To Split Into Six Independently Managed Groups

(RTTNews) - Alibaba Group Holding Ltd. (BABA) announced Tuesday a new organizational and governance structure to empower all its businesses to become more agile, enhance decision making, enable faster responses to market changes, and promote innovation to capture opportunities in their respective markets and industries, thereby unlocking the value of Alibaba Group's various businesses.

Under this plan, the company will have six major business groups and other investments, each to be independently managed by its own chief executive officer and board of directors. The six major business groups to be established are:

1. Cloud Intelligence Group (including cloud, AI, DingTalk and other businesses), with Daniel Zhang serving as CEO in addition to his responsibilities as Alibaba Group's chairman and CEO. 2. Taobao Tmall Business Group (including Taobao, Tmall, Taobao Deals, Taocaica\i, 1688.com and other businesses), with Trudy Dai serving as CEO. 3. Local Services Group (including Amap, Ele.me and other businesses), with Yongfu Yu serving as CEO. 4. Global Digital Business Group (including Lazada, AliExpress, Trendyol, Daraz, Alibaba.com and other businesses), with Fan Jiang serving as CEO. 5. Cainiao Smart Logistics, with Lin Wan serving as CEO. 6. Digital Media and Entertainment Group (including Youku, Alibaba Pictures and other businesses), with Luyuan Fan serving as CEO. The company said each business group will also have the flexibility to raise outside capital and potentially to seek its own IPO, with the exception of Taobao Tmall Business Group, which will remain wholly-owned by Alibaba Group.