The issue of Jack Ma being arrested by the Chinese authorities made some Alibaba investors angry so that the online store giant's shares fell. In fact, many have sold their shares so that Alibaba's valuation has not been cut a bit.
As quoted by us from Fortune, because of the panic that Jack Ma was actually arrested, some investors quickly sold Alibaba shares with a total of around USD 26 billion. Alibaba's shares also fell by 9.4%.
"Alibaba stock plummeted after the state broadcaster announced the arrest of a person with the same last name as the online store company's founder," Fortune said.
Moreover, at first, it was said that the suspect's name consisted of two characters, such as Jack Ma. However, it was later corrected that his name consists of 3 characters, and his profession and date of birth are different from Jack Ma's.
This made Alibaba's stock price begin to recover. However, it is clear that Alibaba investors easily panic when it comes to Jack Ma's fate, especially if there is news like this where rumors say he is in trouble with the law.
In fact, Ma, which means horse in Chinese, is a very common last name in China. According to China's Ministry of Public Affairs, of the 12 million population of the city of Hangzhou, for example, there are about 100,000 people with the last name Ma.
Indeed, since Jack Ma was pressured by the Chinese government since he criticized his country's financial system, investors are a bit worried. Currently, Alibaba's share price is down about 60% from its peak in October 2020, before Jack Ma made his critical speech. This means that Alibaba's fate is still pretty much dependent on the figure of Jack Ma.
