Ant Group, which was forced to hold off on its public offering (IPO) last year, could see its valuation drop further to $108 billion, down about 66 percent from last year’s $320 billion valuation, according to Bloomberg’s latest estimate, based on new rules proposed by China to limit concentration in the online payments market.
According to Hong Kong‘s Radio Television Hong Kong, Bloomberg’s senior analysts point out that Ant Group’s valuation could fall further if the payments business is forced to split up due to a potential anti-monopoly investigation by China’s central bank. And it must also put a question mark on whether it can relaunch its listing plan this year.
The analyst said Ant Group’s valuation had been lowered from about 1.44 trillion yuan to less than 1 trillion yuan. According to the report, Alipay, which currently has about 1 billion users, controls 55 percent of the mainland’s mobile payment market.
The company’s vice president and general manager of the insurance division, Yin Ming, has left Ant Group after its IPO hit the rocks. Ant Group said in response, after five years of struggling together, we all liked him and thanked him, and wished him well.
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