Alibaba Group Holding Ltd. is considering selling shares to Ant Group Company as part of the fintech company’s planned buyback.
This follows the conclusion of a nearly three-year investigation by financial regulators into the financial technology business.
In a stock exchange statement in Hong Kong, Alibaba, which owns nearly a third of Ant, stated that it has been informed of the Ant share buyback programme at a valuation of 567.1 billion yuan ($78.5 billion).
In an effort to provide investors the option to reduce their interests after being caught up in the fintech powerhouse’s years-long regulatory crackdown, Ant planned to buy back up to 7.6% of shares on Saturday.
By repurchasing shares, the company’s worth would be close to 70% lower than its $280 billion market capitalization in 2020.
