Alibaba Leads Chinese Tech Funding Spree With $3.2 Billion Deal

Alibaba Group Holding Ltd. is leading a fundraising spree among Chinese tech giants, driven by soaring capital demands amid intensifying competition in artificial intelligence.

The company raised about $3.2 billion in the year’s biggest offering of convertible notes so far, according to data compiled by Bloomberg. The Chinese e-commerce company’s zero coupon notes due 2032 will convert into its American depositary receipts, according to terms of the deal seen by Bloomberg News.

Alibaba priced the bond at a 31.25% conversion premium, according to a statement Thursday confirming an earlier Bloomberg News report. Investors had expressed interest several times the ...