U.S. asset manager Fidelity Investments has halved the valuation of its shares in Ant Group, the Chinese financial technology company at the centre of a major regulatory crackdown, the Wall Street Journal reported on Monday.<\/p>\n
The new valuation for the Jack Ma-founded company, which has been forced to restructure following scrutiny from Beijing, was $144 billion as of the end of February, based on regulatory filings cited by the WSJ.<\/p>\n
Ant declined to comment. Fidelity did not immediately to respond to a request for comment.<\/p>\n
The $144 billion valuation compares with an appraised value of $295 billion as at the end of August, the WSJ report said. Fidelity was among a small group of global investors that bought into Ant three years ago.<\/p>\n
Ant’s $37 billion initial public offering (IPO) in Shanghai and Hong Kong, which would have been the largest in the world, was cancelled in November soon after Ma made a speech in Shanghai in which he called for reform of China’s regulatory system.<\/p>\n
Since then, Ant has restructured to become a financial holding company which analysts have said could dent Ant’s appeal to investors because of higher capital requirements that could reduce growth prospects. .<\/p>\n
Fidelity’s reported valuation was to the end of February and would not have taken into account the impact of Ant Group’s restructuring announced in April.<\/p>\n
In May 2018, Fidelity invested about $238 million in Ant on behalf of various funds, the WSJ reported, citing Ant’s IPO prospectus, in a round that valued the company at about $150 billion, higher than the U.S. asset manager’s current valuation of Ant.<\/p>\n
Reuters reported in March that some of Ant Group’s global investors valued the Chinese company at more than $200 billion based on its 2020 performance, less than the potential $315 billion valuation touted ahead of its listing.<\/p>\n","protected":false},"excerpt":{"rendered":"
U.S. asset manager Fidelity Investments has halved the valuation of its shares in Ant Group, the Chinese financial technology company at the centre of a major regulatory crackdown, the Wall Street Journal reported on Monday. The new valuation for the Jack Ma-founded company, which has been forced to restructure following scrutiny from Beijing, was $144 billion as of the end of February, based on regulatory filings cited by the WSJ. Ant declined to comment. Fidelity did not immediately to respond to a request for comment. The $144 billion valuation compares with an appraised value of $295 billion as at the […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[7],"tags":[],"class_list":["post-798400","post","type-post","status-publish","format-standard","hentry","category-it-2"],"acf":[],"_links":{"self":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/posts\/798400","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/comments?post=798400"}],"version-history":[{"count":0,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/posts\/798400\/revisions"}],"wp:attachment":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/media?parent=798400"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/categories?post=798400"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/tags?post=798400"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}