Alibaba Group’s financial arm Ant Group detailed a restructuring of its businesses to address government-mandated changes, vowing to return to its roots by focusing on micro-payments for consumers and SMEs.
In a stock market filing, Ant Group said it will apply to establish a financial holding company overseen by China’s central bank to ensure its related businesses are fully regulated. It will also establish a personal credit reporting company, with plans to apply for a relevant licence.
Ant Group said it will enhance corporate governance; adhere to fair competition rules; strengthen risk prevention and control; and create a fair market environment. The overhaul also involves strengthening consumer rights protection and its corporate social responsibility commitments.
Alibaba founder Jack Ma agreed to restructure its fintech business in late December 2020 after financial regulators outlined a number of required changes. The requirements include cutting links between Alipay and other business units.
In November 2020 stock market regulators suspended a planned dual listing by Ant Group on the Shanghai and Hong Kong exchanges.
Alibaba this week pledged to strengthen its compliance systems after China’s competition regulator fined it CNY18.2 billion ($2.8 billion) for abusing its dominant market position in the online retail market.Subscribe to our daily newsletter Back