Chinese fintech and payments giant the Ant Group is going to IPO in October. It aims to raise up to $35 billion in Hong Kong and Shanghai at over a $200 billion valuation. Ant’s IPO could surpass Saudi Aramco’s US$29.4 billion IPO last December as the largest ever.
Ant is the parent company of Alipay. Alipay is China’s leading mobile and e-commerce payment system, the scale of Alipay is simply mind-boggling – 711 million monthly active users, 80 million monthly active merchants and more than 2000 partner financial institutions. The Ant Group also operates one of the world’s largest money market funds and runs Zhima Credit, commonly known as Sesame Credit, a credit-rating system.
What makes Ant IPO so unique?
Ant enjoys a very strategic and synergistic relationship with e-commerce giant, Alibaba. Alibaba has a 33% stake in Ant through its subsidiaries. “We, together with Alibaba, are building the infrastructure for commerce and services,” Jack Ma "has ultimate control over our Company," Ant said in its filing.
Ant Bank, part of Ant Group, has officially launched to offer banking services to Hong Kong citizens, this launch makes it the 6th virtual bank to launch their services in Hong Kong. AlipayHK users will be able to open an Ant Bank account remotely through Ant Bank’s Mini App in their existing e-wallet app.
As per the recent report, Singapore’s sovereign wealth fund GIC Pte plans to invest more than $1 billion in Ant Group’s initial public offering.
From the Ant Group’s Prospectus, for the half-year ended 30 June 2020, the company net profit has risen to RMB 21.9bn, realizing growth of 1,158.7% compared to the same period last year.