Ant Group’s initial public offering, expected to be the biggest in history at over $310 billion, was put on hold in November after Chinese regulators abruptly pulled it days before the stock was set to start trading.
What Happened: At the World Economic Forum on Tuesday, the People’s Bank of China Governor Yi Gang said that once issues around Ant Group’s monopoly as well as issues regarding risks related to consumer privacy are solved, the IPO can go ahead.
“I would say that this is a process and also once the problem solved, it will go back to the track to continue consideration according to law,” Yi said.
Why It Matters: The prospects of Jack Ma’s fintech empire, which includes Alibaba Group Holdings Ltd. BABA, have left investors concerned.
After the conflict between Chinese regulatory officials and Ma came to light in November, he was absent from the public eye for over two months, which caused rumors to swirl around his safety.
It was reported that Ma had had made critical comments about the financial and regulatory system, calling it “an old men’s club.”
What’s Next: No timetable was laid out for when the IPO process would be completed, but investors received Yi’s comments today as positive.
In December, a representative from China’s Bank said that Ant Group has to “understand the necessity of overhauling its business.”
Photo by Ant Group.
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