Credit Suisse set to profit again in Alibaba IPO

|About: Credit Suisse Group AG (CS)|By:, SA News Editor

Credit Suisse (CS) has yet another reason to be excited for Alibaba’s (ABABA) IPO - the bank would make a paper profit of $68M if Alibaba lists at a valuation of $121B, due to $50M worth of convertible bonds it purchased in the group in 2012.

The $68M gains would be a notch higher than the underwriting fees Credit Suisse would see from the IPO. The bank expects to recieve $66M from the offering.