SYDNEYHONG KONG, May 8 Reuters Alibaba39;s logistics arm aims to raise up to 2 billion via a listing in Hong Kong likely early next year, sources with knowledge of the matter said, bolstering hopes for a capital markets revival in the Asian financial hub.

Cainiao Network Technology39;s initial public offering IPO plan comes after Alibaba flagged in late March it would split its business into six units and that most of them would explore capital raisings or market debuts to help fund future growth.

Cainiao, which has started work on the IPO, is looking to raise between 1 billion and 2 billion in Hong Kong, according to three sources. They declined to be named because the listing deliberations are private.

The planned IPO, the size of which has not been reported before, is likely to be launched in early 2024, two of the sources said.

The sources cautioned that the plans are not finalised yet and remain subject to changes.

Cainiao said it would not comment on market speculation.

Alibaba did not respond to a request for comment.

Alibaba, which acts as a massive online marketplace for buyers and sellers, has in past years picked up stakes in top express delivery players to ensure reliable services for the group.

It cofounded Cainiao in 2013 with partners including department store owner Intime Group, conglomerate Fosun Group and a handful of logistic firms. Alibaba took control of Cainiao four years later and has lifted its stake to 67 from 47.

Cainiao, which provides…