He was the owner of more than 50 percent of China’s famous fintech giant Ant Group, which has an IPO of 3,700 crores. But this time, the Chinese billionaire is withdrawing himself from this institution he built. In recent times, its share has fallen to 6.2 percent.
As per the decision of the shareholders, all the shares of the company will be transferred in phases very soon. Once this process is over, founder Jack Ma will no longer be able to make any policy decisions for the group.
British news agency Reuters reported this on Saturday, January 7th.
Given the circumstances, however, analysts say Jack Ma’s exit from Ant Group’s IPO will play an important role in revitalizing the group’s IPO. Duncan Clark, author of a book on Alibaba and Jack Ma, told Reuters that investors in Ant Group have been in limbo for a long time now. In such circumstances they seem to take some time to release their shares.
He added that Jack Ma’s departure from Ant demonstrates the Chinese government’s determination to reduce the influence of large private investors on domestic politics. This trend could put the most productive part of the Chinese economy at risk.
The chairman of investment advisory firm BDA China said that the government is giving great importance to increasing growth as China’s economy is in a very bad state. Especially technology and private sector are being given more importance.
It may be noted that, Alipay, a subsidiary of Ant Group, is the world’s largest mobile payment company. Besides, Ant Group has several other subsidiaries.