The billionaire founder of AlibabaJack Ma plans to relinquish control of Chinese fintech company Ant Group whose historic IPO was suspended in 2020 by Beijing authorities and which is in the process of restructuring, as reported on Thursday The Wall Street Journal (WSJ).

The newspaper mentions this based on anonymous sources Ma may lose control of the company by transferring some of his voting power to other executives including CEO Eric Jing.

According to him WSJAnt introduced the plans of the billionaire businessman to the regulatory authorities It is preparing to change its business structure in a move that will have government approval.

Billionaire businessman Currently manages more than half of Ant Group’s shares through the subjects under his power, but He has been considering stepping aside for years, as he previously did with Alibabawhere he stepped down as president in 2019 and retains less than 5% ownership.

A group of antswhich was established as a subsidiary of Chinese e-commerce giant, is the operator of Alipay, the main electronic payment platform in China.

Its expected $37 billion IPO in Hong Kong in 2020, It would be the largest operation of its kind in history. It was canceled at the last minute by the Chinese authorities, who decided to increase regulatory controls Due to alleged monopolistic practices in the technology sector and threats to national security.

China’s move came soon after Ma has publicly criticized the financial bureaucracy at the Asian giant And since then, the billionaire has chosen to keep a low profile and generally avoid public appearances.

Under pressure from regulators, Ant Group is in the process of distancing itself from Alibaba and reorganizing as an investment company controlling a series of subsidiaries responsible for different parts of its business.

On the other hand, Alibaba plans to add a primary listing in Hong Kong to its presence in New YorkTargeting Chinese investors on the mainland, it becomes the first major company to take advantage of changes to the financial center’s rules to attract Chinese high-tech companies.

The e-commerce giant’s move, announced on Tuesday, comes at a time when Both Washington and Beijing are raising prices for Chinese companiesAlibaba left after a devastating regulatory crackdown in China $2.8 billion in fines.

It also happens in context An audit dispute between China and the United States threatens to drive hundreds of Chinese companies from listing in New York.

(according to EFE and Reuters)

Continue reading: