America Movil of Mexico trades at 34.5 times. The move affirmed Ant’s “ownership structure”. Many companies run afoul of Washington, and break laws. The Pentagon released a list of Chinese military-associated companies operating directly or indirectly in the United States at the start of the summer. Ant Group and Alibaba are both sizeable investors in, and customers of, Megvii Technology, an artificial intelligence (AI) startup that specializes in facial recognition technology. In 2020, the group planned to raise more than $34 billion in what would have been the world’s largest IPO. But then, amidst all the hype, this happened. And that can only happen if you know all the facts and you're armed with useful and actionable information - such as what we've put together in this report for you. DOWNLOAD THIS FREE REPORT NOW TO FIND OUT HOW YOU CAN GET AHEAD ON THE BIGGEST FINANCIAL OPPORTUNITY OF 2020! Prospective investors in the company’s stock would be hard pressed to obtain an adequate understanding of the underlying material risk factors associated with Ant Group or its affiliate firms through a reading of that draft prospectus, says RWR Advisory. I've spent 20 years as a reporter for the best in the business, including as a Brazil-based staffer for WSJ. Ant is affiliated with e-commerce giant Alibaba (), which raised a record $25 billion when it debuted on Wall Street in 2014 — still the world's second largest IPO to date. Battle with Tencent for market share in China has erased profitability. ... Chinese financial technology group Ant has unveiled plans for a stock market debut that may raise a record $30bn (£23bn). China’s internet finance leader Ant Financial to seek a dual-listing in Hong Kong and Shanghai, sources tell Bloomberg. Of course, some can say that China can ban investing in Raytheon or Lockheed Martin Will a Biden presidency take some of the risk off those securities? Ant Financial made $611 Million in pre-tax profit last quarter by expanding credit financing and technology services it provides to other financial institutions. Founder Jack Ma announced that the company has set the pricing for its entrance into the public domain. © 2021 Forbes Media LLC. (AP Photo/Ng Han Guan). Chinese Premier Xi Jinping personally made the decision to block Ant Group's IPO two weeks ago, according to The Wall Street Journal.The Chinese fintech's public … Chinese companies are coming under pressure now for sourcing everything from cotton to poly-silicon used in making solar cells for solar panels from Xinjiang, where the Uyghur detention camps are located. China hawks are working it. Bitcoin To Space Travel: 5 Eagle Experts Think These Investment Ideas Can Soar In 2021, Earnings, Earnings, And More Earnings: 20% Of S&P 500, Including Tesla, Apple, Report This Week, Three Of The Most Dangerous Stocks For 2021. First, we have to find those pesky ABS’s. Since 2011, I focus on business and investing in the big. Ant Group (Chinese: 蚂蚁集团; pinyin: Mǎyǐ jítuán), formerly known as Ant Financial and Alipay, is an affiliate company of the Chinese Alibaba Group.The group owns China's largest digital payment platform Alipay, which serves over one billion users and 80 million merchants, with total payment volume (TPV) reaching CN¥118 trillion in June 2020. Former holder of the FINRA Series 7 and 66. Is Jabil The Best Stock To Play iPhone 12 Cycle Without Overpaying? The group, which was spun out of Alibaba Group in 2011, said on Monday that it plans a dual-listing in China's NASDAQ-like STAR board, plus the Hong Kong Stock Exchange. And Ant Financial is still growing at an exponential rate, with a current $150 billion implied evaluation! President Donald Trump and his Democratic challenger, Joe Biden, are in a tight battle for the White House. China on Wednesday, Nov. 4, 2020. Ant expected a valuation of $313 billion. There's a reason Alibaba is buying an equity stake, but it's not that. 20 Jul 2020 Billionaire Jack Ma is $3bn poorer after Ant IPO put on ice The U.S. sends portfolio money to China by the boat load. The company shelved the IPO due to regulatory and profitability issues. And now that it's entering its final stages of preparation before its IPO, the biggest question is... ...HOW CAN YOU TAKE ADVANTAGE OF THIS HUGE WINDFALL? As with any other investment opportunity, there is always an element of risk. All Rights Reserved, This is a BETA experience. Ant Financial shares are being offered privately at levels which value the Chinese financial giant at $200 billion. Opinions expressed by Forbes Contributors are their own. Ant IPO: China's mighty financial group heads for a mega market debut. You may opt-out by. Ant Financial will have a market value of $315 bn before exercising the greenshoe option. But if you know all the facts, you understand the strengths and weaknesses of the business, you're up to speed with all the necessary ins and outs of the venture, and most importantly, you've sought professional advice, you can get on board with all guns firing and make sure each shot is a hit. U.S. investors need to pay attention to a June list by the Pentagon of Chinese companies loaded with subsidiaries and government military contracts that make them — as Margaret Atwood once wrote — “tightrope walking over Niagara Falls.”, Badges are displayed at an election watch event held by Democrats Abroad at a restaurant in Beijing, ... [+] China on Wednesday, Nov. 4, 2020. Both of those Russian state owned enterprises are in the VanEck Russia ETF. And now, their 2020 IPO opens up the opportunity for investors like you to get a piece of the valued $150 billion pie. To date, Ant Financial, a spin-off from tech billionaire, Jack Ma's Alibaba Group Holdings, has raised funding in excess of US$20B pre-IPO, making it one of the largest (if not THE largest!) These are muddy waters. I write about business and investing in emerging markets. 3 Things You Need to Know About蚂蚁金服 (Ant Financial Group) Hong Kong IPO – The Largest IPO Yet! There is no talk of delisting it. It was a sad day in early November after Ma and others were summoned to a meeting with financial regulators in Hong Kong. antfin.com | Finance/Payments | Founded: 2004 | Funding to Date: $23.65B, WE'VE DONE THE RESEARCH SO YOU DON’T HAVE TO, BUT WE DON'T WANT YOU GETTING IN ON THE ACTION BLIND, Everything You Need to Know in a Single Fact Sheet, Ant Financial Established A Proven and Profitable Business Model - It's Your Turn to Profit from It, THAT'S WHAT THIS REPORT DOES FOR YOU - DOWNLOAD NOW. The company is looking at a valuation of more than $200 billion, with plans to sell 5% to 10% of its shares. In May 2019, the U.S. Federal Communications Commission denied China Mobile International’s an application to provide international telecommunications services between the U.S. and foreign destinations. (ATF) Closer study of China's new microfinance rules makes the Initial Public Offering proposed by Ant Finance Group look increasingly unlikely – or that it might only happen on a much smaller scale at some unknown point in the future.. On Tuesday November 17, Fang Xinghai vice chairman of the China Securities Regulatory Commission (CSRC), commented on Ant's IPO at the 3rd … And the Ant Group’s rumored IPO valuation — about $200 billion valuation, putting it on par with PayPal — will only grow, too. We explain how we use your personal data in our Privacy Policy. The Megvii-Ant connection is a problem, because some people in the Pentagon think they have the power to make it a problem. It is also clear from the IPO registration filed with the Hong Kong Exchange this week . They’re all part of one big happy family. Then again, Chinese individuals are barely allowed to invest here. Alibaba and Ant are also linked to Megvii through transactions and partnerships. And now, their 2020 IPO opens up the opportunity for investors like you to get a piece of the valued $150 billion pie. Other trademarks are the property of their respective owners. Shortly afterwards, it scored US$10B in funding from overseas investors including Singapore’s GIC and Temasek, and Warburg Pincus (Reuters). It was a shock for investors worldwide: Only a few days before the supposedly largest stock market debut in the world, the Alibaba financial subsidiary Ant Financial canceled its double IPO. LMT China's richest techie, Jack Ma, is the brains behind Ant Financial Group. China Mobile trades at a multiple of around 7.5 times earnings. Anyone buying that ETF owns sanctioned companies. If you're not sure of an investment's suitability for your circumstances please seek advice. Imagine getting in on the action before the shares skyrocket in value. Well, you don't have to worry about poring through mountains of data in order to make a sensible decision. This is why the company rebranded from Ant Financial to Ant Group. But as of October 2020, Megvii is MIA. Should You Buy Johnson & Johnson Stock At $160. The internet giant’s business now covers everything from wealth management to payments to credit scoring. Megvii was expected to be IPO ready in the spring. This information was disclosed by Megvii in its own draft prospectus back on July 29, 2019. China's fintech giant, Ant Financial, unveils world's largest IPO The company will raise more than $34 billion in Hong Kong and Shanghai, topping the $29 billion IPO of Saudi Aramco last year. The list, originally commissioned by Congress in 1999 pursuant to Section 239 of the National Defense Authorization Act, includes several large, state-owned conglomerates with ties to the CCP and the People’s Liberation Army. Can Editas Medicine Stock Bounce Back After A 13% Drop In 5 Days ? How to Invest in The Ant Group IPO This is an important company to keep in mind because Megvii was sanctioned by the U.S. Government and added to the Entity List of the Commerce Department’s Bureau of Industry and Security (BIS) in October 2019 for having been “implicated in human rights violations and abuses in the implementation of China’s campaign of repression, arbitrary detention, and high-technology surveillance” in Xinjiang province in far west China. Ant Financial and logo are trademarks of Stockmarket Insider. Get your free in-depth investor report below! We put this Investment Fact Sheet together in a meticulous fashion to make sure you get all the angles. Gazprom and Sberbank are sanctioned from conducting certain business with the U.S., but investors are not banned from owning their stocks and bonds. Not just that, this IPO could catapult Ant Financial to a company even bigger than JPMorgan Chase & … BABA Ant Group, formerly known as Ant Financial and Alipay, is owned and operated by Alibaba Group founder Jack Ma, China’s wealthiest individual. fintech startups in the world today with a current implied valuation of US$150B! Ant Financial, a spinoff from the Alibaba Group, was set to raise $37 billion in an IPO … But there could be more at play: alarm bells sounding off from Washington that suggested American investors might be turned off by Ant. Back in 2017, payment services delivered 55% of Ant’s revenues versus 45% from Technology Platforms. Doesn't follow the herd. (AP Photo/Ng Han Guan), America's Top Givers: The 25 Most Philanthropic Billionaires, EY & Citi On The Importance Of Resilience And Innovation, Impact 50: Investors Seeking Profit — And Pushing For Change. Ant Financial isn't done expanding yet - planning to expand its user base to 2 billion over the next ten years and attract customers outside of China. Get on now and you'll be getting on the ground floor of what may very well be the biggest financial opportunity of the decade. Don’t be blindsided. The decision was made after an extensive review by relevant Executive Branch agencies, which examined potential national security, law enforcement, foreign policy, and trade policy concerns, concluding that the application “raises substantial national security and law enforcement risks” due to “several factors related to China Mobile USA’s ownership and control by the Chinese government.”. The U.S. does not stop American investors from buying Chinese military contractors. Should You Book Profits In Pacific Biosciences of California After A Massive 13x Rally? It used legalese to paint over the real world political, reputational and regulatory challenges the company could face in the period ahead if prevailing winds on China continue under a Biden Administration. Alibaba's () fintech affiliate Ant Financial could go public in Hong Kong soon, according to Reuters. Highlights from the Ant Financial IPO Price Set The Shanghai Stock Exchange pulled Ant Group’s IPO on November 3, halting what would have been the world’s largest-ever listing. This profile is based on publicly available information and is intended to be informative in nature. He’s worth a cool $61 billion. He’s the creator of Ant Financial and Alibaba Because Wall Street was neck deep in the SARS 2 pandemic and hoping for it to end, it largely went unnoticed. Alibaba's Ant plans Hong Kong IPO, targets valuation over $200 bln, sources say. Now's your chance to hop in and profit from the biggest disruptor in the $127.66 billion financial technologies marketplace. Both Alibaba Group and Ant appear to be substantial shareholders of Megvii Technology mainly through indirectly owned subsidiaries, based on its filings with securities regulators. The Ant Group IPO is coming together. February 2, 2018, 12:38 AM EST 3:42. So clearly, the time was ripe for a public offering. Ant Financial Revisits IPO Amid Growth Ant Financial had plans to go public back in 2018. EARLY INVESTORS WILL SEE THE LARGEST GAINS! We don't want to fill you with just the hype. Alibaba, E-commerce giant holds a 33% stake in Ant Financial. Stockmarket Insider does not have an affiliation with, formal relationship with, or endorsement from Ant Financial or any companies featured above. There are a few companies with ADRs involved in building telecom systems on islands in the South China Sea, and weapons manufacturers building missiles pointing at Taiwan. No need to look anywhere else for the latest information on the Ant Financial IPO. This is not personal advice. In short? The company's platform uses cloud-based computing and mobile internet technologies to integrate basic capacities with customised research and development needs, enabling financial institutions to build safer and more efficient IT infrastructures to serve their customers. There will never be a better time to invest in Ant Financial than now. Rio Tinto Rises 36% In 3 Months; Stay Patient To Earn More. In the first quarter of 2018, Ant Financials’ pretax profit reached a new high of RMB9.18B, which was a staggering 65% jump in earnings before tax! Be part of one of the biggest IPO opportunities of 2020 by signing up for free access to the Ant Financial IPO investor fact sheet below. In the quarter ending last September, Ant added $309 million to Alibaba’s bottom line, and the eCommerce giant traded its 37.5 percent pre-tax profits for a 33 percent equity stake. With a projected valuation of $37 billion, Ant Group Co. (formerly Ant Financial) froze in its tracks, but not by its own accord. As recent as February, Megvii Technology was planning to file for an IPO in Hong Kong. Ant Financial offers a full suite of financial services from mobile payments, savings accounts, personal investing, lending, and credit scoring. and Ant Group. Ant Group is a Chinese financial technology company that is on track to conduct the largest IPO in history in the next week or so. Ant does mention their plausibility and does note that countries other than the U.S. can lash out in similar fashion. Ant Group did note the risk of export controls and sanctions and the impetus for such regulatory actions, including the potential application of its technology for “surveillance or military purposes.” The risk section, however, omits reference to the U.S. government’s recent actions against Chinese tech firms, including Megvii. Concern over the detention of Uyghur Muslims has led to China company export bans by Customs and Border Protection in the U.S. Human rights can be a hammer the Biden Administration uses to highlight its toughness on China. It's on its way to becoming the SINGLE most significant disruptor in the financial technologies marketplace this century. Petrobras was sued. Ant Financial offers a full suite of financial services from mobile payments, savings accounts, personal investing, lending, and credit scoring. Since Ant Financial is a private company and hasn’t publicly filed, financial information is hard to find. One of those companies is China Mobil. Alibaba's financial services arm, Ant Group, will seek an initial public offering in both Shanghai and Hong Kong as it looks to expands its operations into the European and American markets. This would be a headwind for the stock. Nio, Li Auto, and Xpeng: Which Chinese EV Stock Is The Best Value? Shares will rise and fall in value, so you could make a loss, and the income they pay can also vary. Ant Group’s “Risk Factors” section in its draft prospectus submitted to the Hong Kong Stock Exchange was over 50 pages long, with several material risk factors standing out. Reuters has previously reported that the company is looking to raise $35 billion. Americans are invested in those companies, either actively or passively through index funds. I've spent 20 years as a reporter for the best in the business, including as a Brazil-based staffer for WSJ. Retail investors alone splurged almost $3 trillion in Without detailed knowledge of the overall risk environment related to the evolving bilateral U.S.-China relationship, the track record of risk that exists for Chinese tech companies dealing in sensitive user data was a red flag for some. Between Ant’s setback and concerns at the almighty Pentagon about Chinese companies, investors are going to have to get comfortable with greater risks in owning China. The IPO could be postponed by at least six months, as Financial Times stated in a press release. It's easy to feel like you missed out when a company goes public and the price of its shares skyrockets. But its stock never hit the market. News of the postponed IPO focused on some regulatory bottlenecks. By . You'll be sitting pretty and watching your gains shoot up while everyone else will be scrambling to even get to the front door. At about $315 billion, Ant is worth more than the GDP of Egypt, Chile or Finland! Jack Ma was going to get a little richer. Orange of France trades in the high teens. It looks innocent, but to Washington it’s a problem. China's richest techie, Jack Ma, is the brains behind Ant Financial Group. Not So Fast. Shares will rise and fall in value, so you could make a loss, and the income they pay can also vary. The STAR board is … He’s worth a cool $61 billion. Even as a private company, Ant Financial isn't starved for cash - in fact, it's turning a profit. Unlike other private tech companies who go public to pay off debt, Ant Financial has been profitable for at least three years. Jack Ma was going to get a little richer. Ant Group will carry out a concurrent initial public offering (IPO) on the Shanghai Stock Exchange's STAR board and the Hong Kong stock exchange. Ant Group's IPO could be one of the biggest of all time. Don't get it wrong. Brazil’s oil giant Petrobras was a piggy bank for a group of politicians there, some of whom used it to syphon off government contract money. Or suggest they not buy stocks in cameras making surveillance cams in forced labor camps. This was followed by a US$2B funding infusion by allowing Chinese investors in on the action (Bloomberg). Ant Group’s monster $30 billion IPO was postponed. Just how bright is the future looking up for this finance company? Only if the Pentagon and a China skeptical Congress stand down. ASSOCIATED PRESS. The operator of a cloud-based financial platform designed to provide cloud computing services to financial enterprises. If you take a look at p.307 of Ant’s IPO prospectus, the company held only RMB 36b of loan receivables as of end-June 2020 (or about USD 5b).In a vacuum we can’t tell whether that’s a little or a lot, but that amount doesn’t really sound like much for a company with a dominant share of China’s USD 14 Trillion economy. Our goal is to help you make an informed and intelligent business decision. President Donald Trump and his Democratic challenger, Joe Biden, are in a tight battle for the White House. August 31, 2020 2861 Alibaba’s payments arm, Ant Group/Financial has filed for IPO in both Hong Kong and Shanghai to issue at least 10% in new shares of its total capital. Occasional BBC guest. Register now to receive your copy of the Ant Financial investor fact sheet and become a part of the biggest disruption in the financial tech marketplace! It would be the second time in a year, as their first application expired due to time constraints associated with the coronavirus lockdowns and — perhaps more importantly — Megvii’s inclusion on the “Entity List” in October 2019. Shuli Ren. An Ant Financial IPO? Ant’s IPO values the company at US$313 billion, which could rise to US$318.50 billion including an overallotment option, making the fintech unicorn … Experts agreed that this could also have a major impact on the fintech company’s valuation. My work has appeared in The Boston Globe, The Nation, Salon and USA Today. The info we have makes it clear that Ant Financial is in a firm financial position, which is estimated to have an overwhelmingly positive impact on early investors. Deloitte had finished auditing their 2019 financials. And when Ant Financial put up ~10% of the company for sale in a bid to raise $34.5 billion from the public, everybody thought the IPO was going to be the largest public offering ever. Get exclusive access to the fact sheet before the Ant Financial IPO launches and get ready to make the smartest investment of your life. Since 2011, I focus on business and investing in the big emerging markets exclusively for Forbes. China invests primarily in Treasury bonds. Alibaba holds a 33% stake in Ant Financial, which is seeking an IPO in Hong Kong. People visit a showroom of the mobile payment powerhouse, Ant Financial, in China in 2018. Spun-off from Jack Ma’s Alibaba Group, Ant Financial’s IPO has been the poster child of China’s post-coronavirus economic recovery. Stockmarket Insider would like to contact you about the services we offer which may be of interest to you. because it is a U.S. military contractor, and that would make sense. 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