Alibaba Group Holding Ltd. plans to raise $20 billion through a second listing in Hong Kong in a bid to lure more domestic investors, Bloomberg News reported May 27, citing people with knowledge of the matter.

According to the news wire, Alibaba is in discussions with financial advisers on the proposed offering. Sources said a second listing is meant to broaden the company's funding channels and strengthen liquidity. The company could make a confidential filing of a listing application with the Hong Kong Stock Exchange as soon as the second half of this year, the sources added.

Alibaba did not immediately respond to a request for comment from S&P Global Market Intelligence.

The Chinese e-commerce giant raised $25 billion in its market debut at the New York Stock Exchange in 2014 after Hong Kong regulators denied approval over its proposed governing structure.