Ant Financial ‘delays IPO plans’
Written by Hannah McGrath
Ant Financial, the Chinese electronic payment affiliate of Alibaba, has reportedly pushed back its plans for an IPO due to financial hurdles and a government crackdown on non-traditional financial institutions.
The fast-growing payments startup was valued at $150 million (£117billion) in its latest fundraising round in June, but has decided to delay rumoured plans to list in 2018, according to the Financial Times.
The privately-owned FinTech, which is affiliated with Alibaba, the Chinese e-commerce giant, reported losses in its first quarter earnings following intense rivalry with payment services provided by Chinese conglomerate Tencent, which owns social media platform WeChat and Alibaba’s main e-commerce competitor JD.com.
Two people familiar with the process said a listing was unlikely before the end of 2019, with one saying it was “years” away.
The company will report second quarter results on Thursday.