Hong Kong-listed shares of ZTO Express (2057) once slumped more than 7 percent on Tuesday following a report that Alibaba (9988) sold US$500 million (HK$3.9 billion) American depository receipts of the delivery company in an unregistered block trade.
Alibaba sold 25 million ADRs at US$20.02 apiece - the bottom of the US$20.02-US$20.22 marketed range, according to Bloomberg.
The price also represented a 4.5 percent discount from ZTO's ADRs closing price at US$20.96 last Friday.
On Monday, ADRs of the delivery firm closed 7.2 percent lower at US$19.45.
The move shows a sign of reduced strategic alignment between Alibaba and ZTO.
In May, Alibaba was reportedly considering the issuance of exchangeable bonds tied to its ZTO Express shares, indicating a way of reducing its holding in the express delivery firm.
