(Bloomberg) -- Alibaba Group Holding Ltd.’s US shares closed 14.3% higher after China’s online commerce leader announced plans to split its $220 billion empire into six business units, a major restructuring that promises to yield several initial public offerings.

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The move frees up the Chinese company’s main divisions from e-commerce and media to the cloud to operate with far more autonomy, laying the foundation for future spinoffs and market debuts.

The shift to a holding company structure is rare for major Chinese tech firms and could present a template for Alibaba’s peers. Decentralizing the company’s business lines and decision-making power addresses one of Beijing’s primary goals during its sweeping crackdown on the technology sector.

The government had criticized the influence of online platforms, particularly those of Alibaba and WeChat operator Tencent Holdings Ltd. That will likely mean the restructuring would draw support from government regulators who have been concerned that concentrated power in tech suppressed innovation. Alibaba and Tencent invested in hundreds of startups over the years, often helping to craft strategy as they grew.

Alibaba’s US-listed shares ended New York trading Tuesday at $98.40. Tencent’s US shares closed 8.03% higher, while those of Chinese internet search giant Baidu Inc. ended the day with a 4.7% gain.

“It is one step in the direction with China’s policy to reduce the monopolistic nature of the tech giants,” said Marvin Chen, an analyst with Bloomberg Intelligence. “While China tech spinoffs are not uncommon, the move looks to be more encompassing, including core businesses, that may serve as a blueprint for the industry going forward.”