Alibaba to secure 33% stake in Ant Financial

  • Alibaba to secure 33% stake in Ant Financial

Alibaba to secure 33% stake in Ant Financial

The fee payments could be terminated if Alibaba acquires a 33% stake in Ant Financial, as the corresponding intellectual property will be transferred to the company. Ant Financial will additionally invest a further $150 million into the company. Launched in 2004, Alipay now has over 520 million active Chinese users and over 200 financial institution partners in China.

Excluding share-based compensation expense, non-cash revaluation gain and certain other items, non-GAAP earnings per share for the third-quarter was RMB10.61 or US$1.63, up 18% from RMB9.02 in the previous year.

Restaurant exploration and food delivery platform Zomato has raised United States dollars 200 million from Alibaba Group owned ANT Small and Micro Financial Services.

Ant Financial emerged as "a financial services provider, rather than a financial institution with major financial holdings, serving small and micro enterprises, as well as individual consumers", the company's CEO Lucy Peng said at the time.

Zomato, the online restaurant discovery and food delivery firm, has raised $200 million from Ant Financial, the payments affiliate of Chinese e-commerce giant Alibaba. The move triggered controversies due to the objection of foreign shareholders Yahoo! This announcement was made alongside their massive quarter report today.

Sales: The company reported revenue was up 56 percent during the quarter to 83 billion RMB ($12.8 billion).

Core ecommerce revenue increased 57 per cent to $11.3 billion and cloud computing revenue jumped 104 per cent to $553 million. Alibaba Group founder and chairman Jack Ma coined the term New Retail in 2016 for a strategy that has been widely adopted by retailers and internet firms to use technology to transform the traditional retail sector.

The company's revenue and profit growth was expected to be more sluggish in the coming quarters, as analysts forecast increased competition between Alibaba and rivals such as and Tencent in the commerce space.