{"id":1967340,"date":"2023-07-08T08:07:02","date_gmt":"2023-07-08T12:07:02","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/ants-surprise-share-buyback-values-firm-at-steep-75-discount-to-ipo\/"},"modified":"2023-07-08T08:08:17","modified_gmt":"2023-07-08T12:08:17","slug":"ants-surprise-share-buyback-values-firm-at-steep-75-discount-to-ipo","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/ants-surprise-share-buyback-values-firm-at-steep-75-discount-to-ipo\/","title":{"rendered":"Ant Group&#8217;s unexpected share buyback has valued the company at a significant 75% discount to its initial public offering (IPO)."},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">40<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fants-surprise-share-buyback-values-firm-at-steep-75-discount-to-ipo%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1967340&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><div class=\"entry-content\">\n<p><strong>Ant Group Announces Surprise Share Buyback, Valuing Fintech Giant at $78.54 Billion<\/strong><\/p>\n<p>By Julie Zhu and Josh Ye<\/p>\n<p>HONG KONG (Reuters) &#8211; Ant Group has made a surprising move by announcing a share buyback that values the company at $78.54 billion. This is significantly lower than the $315 billion valuation from its abandoned IPO in 2020. The buyback provides an opportunity for some investors to exit following a lengthy regulatory overhaul of the firm.<\/p>\n<div id=\"div-gpt-ad-1663871513696-art-1\" style=\"min-width: 320px; min-height: 50px;  text-align: center;\">  \t<script>  \t\tgoogletag.cmd.push(function() { googletag.display('div-gpt-ad-1663871513696-art-1'); });  \t<\/script>  <\/div>\n<div class=\"ad-slot__ad-label\">Advertisement<\/div>\n<\/p>\n<p>The news comes just one day after Ant was fined $984 million, marking the end of a years-long regulatory shake-up and a crucial step towards resolving the crackdown on China&#8217;s internet sector.<\/p>\n<p>Ant has proposed a share repurchase of up to 7.6% of its equity interest, offering a group valuation of approximately 567.1 billion yuan ($78.54 billion). This represents a significant 75% discount compared to its 2020 valuation of $315 billion, which would have made it the world&#8217;s largest IPO if not for the intervention of Chinese regulators.<\/p>\n<p>&#8220;The repurchased shares will be transferred into Ant Group&#8217;s employee incentive plans to attract talent. The repurchase proposal also provides a liquidity option for the company&#8217;s investors,&#8221; Ant stated.<\/p>\n<p>Ant&#8217;s major shareholders, Hangzhou Junhan Equity Investment Partnership and Hangzhou Junao Equity Investment Partnership, have voluntarily decided not to participate in the repurchase.<\/p>\n<p>&#8220;While Ant buys back shares at a valuation much lower than the $150 billion figure in the company&#8217;s last fundraising round in 2018, the plan provides some liquidity to its existing investors,&#8221; said Zhang Zihua, chief investment officer at Beijing Yunyi Asset Management.<\/p>\n<p>China&#8217;s central bank announced on Friday that Ant and its subsidiaries would be fined a total of 7.12 billion yuan. This penalty is seen as a step towards securing a financial holding company license for Ant, allowing it to focus on growth and potentially revive its plans for a stock market listing.<\/p>\n<p>&#8220;China needs to resolve the Ant IPO to restore investor confidence,&#8221; said Wang Qi, CEO of MegaTrust Investment.<\/p>\n<p>Founded by billionaire Jack Ma, Ant operates China&#8217;s popular mobile payment app Alipay and other financial services. The company underwent a significant business restructuring in April 2021, transforming into a financial holding company subject to banking regulations.<\/p>\n<p>Ant&#8217;s fine and <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/ants-surprise-share-buyback-values-firm-at-steep-75-discount-to-ipo\/\" title=\"Ant Group's unexpected share buyback has valued the company at a significant 75% discount to its initial public offering (IPO).\">share buyback mark important milestones<\/a> in China&#8217;s crackdown on private enterprises, which began with the cancellation of Ant&#8217;s IPO in 2020 and had a ripple effect on the market value of several companies.<\/p>\n<p>Despite the lower valuation, some institutions are expected to participate in the buyback, according to analyst Hanyang Wang.<\/p>\n<p>On Friday, Chinese authorities also announced fines against two banks, an insurer, and Tencent Holdings&#8217; online payment platform Tenpay. The People&#8217;s Bank of China stated that most of the issues with platform companies&#8217; financial businesses have been addressed, and regulators will now focus on overall industry regulation.<\/p>\n<p>($1 = 7.2205 Chinese yuan renminbi)<\/p>\n<p> (Reporting by Julie Zhu, Josh Ye, Brenda Goh, Zhang Yan and Scott Murdoch; Editing by Shri Navaratnam and Kim Coghill)<\/p>\n<p><a href=\"https:\/\/www.oann.com\/uncategorized\/ants-surprise-share-buyback\/attachment\/file-photo-ant-group-sign-is-seen-at-the-world\/\"><\/a><\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>Meanwhile, Mark Zuckerberg releases his <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/tusk-ceo-jeff-bermant-on-threads-launch\/\" title=\"Tusk CEO Jeff Bermant discusses Threads launch.\">latest social media app<\/a> to rival Twitter, In his feud with Elon Musk.<\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>Meta&#8217;s Threads may look a little too familiar, while Tucker Carlson teases a J6 bombshell.<\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>In her dissenting opinion for the Supreme Court&#8217;s recent ruling striking down <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/attorney-supreme-court-has-historic-opportunity-to-end-race-based-college-admissions\/\" title=\"Attorney: Supreme Court Has \u2018Historic Opportunity\u2019 To End Race-Based College Admissions\">race-based college admissions<\/a>, Justice Ketanji Brown Jackson defended diversity and its benefits.<\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>Georgia Congressman Rich McCormick tells One America News about a provision he added to the Defense Authorization Bill banning the Pentagon from using so-called media disinformation monitors like Newsguard and the Global Disinformation Index, which he calls &#8220;a total bias scam.&#8221;<\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>By Julie Zhu and Jane Xu HONG KONG (Reuters) &#8211; Chinese authorities announced on Friday a 7.12 billion yuan ($984 million) fine for\u2026 <\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>By Yuvraj Malik (Reuters) \u2013 Researchers at India&#8217;s AI4Bharat are raising $12 million from venture capital firms Peak XV and Lightspeed Venture\u2026 <\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>By David Shepardson WASHINGTON (Reuters) &#8211; Tesla wants the Biden administration to finalize more stringent vehicle emissions limits than those proposed in April\u2026 <\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>By Chibuike Oguh NEW YORK (Reuters) &#8211; Shares of Rivian Automotive surged more than 18% on Friday as it continued to rally after\u2026 <\/p>\n<\/p><\/div>\n","protected":false},"excerpt":{"rendered":"<p>Ant Group has announced a share buyback, valuing the company at $78.54 billion. This is significantly lower than the $315 billion valuation from its abandoned IPO in 2020. The move allows investors to exit following regulatory changes.<\/p>\n","protected":false},"author":66,"featured_media":1967341,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","fifu_image_alt":"","footnotes":""},"categories":[542],"tags":[],"class_list":["post-1967340","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-oann"],"fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1967340","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/66"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1967340"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1967340\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/1967341"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1967340"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1967340"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1967340"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}