China regulator says not conducting work on Ant IPO revival

CHINA’S securities watchdog said it is not conducting a review and research work on an Ant Group initial public offering (IPO).

The China Securities Regulatory Commission (CSRC) issued a statement on Thursday (Jun 9) in response to a Bloomberg report that regulators are holding early stage discussions on a revival of the fintech company’s listing. The CSRC added that it supports platform companies that meet qualifications to list in mainland China and overseas.

Bloomberg reported earlier that Chinese financial regulators have started early stage discussions on a potential revival of Ant’s listing, citing people familiar with the matter.

The CSRC has established a team to reassess the fintech giant’s share sale plans, said one of the sources, who asked not to be named discussing private information. Authorities are also nearing the final stages of issuing Ant a long-awaited licence that would clear the path for an IPO and make the company regulated more like a bank, the sources said.

China’s securities regulator is initially looking at Ant’s plans for a Shanghai listing, one of the sources saud. The company eventually expects to conduct a dual-listing in Shanghai and Hong Kong, another person said.

Meanwhile, Alibaba Group Holding whipsawed in US premarket trading after the CSRC’s statement. Shares of the e-commerce giant shot up as much as 7 per cent earlier after a Bloomberg News report that the regulator established a team to assess the fintech giant’s share sale plans. The stock quickly reversed those gains, falling 2 per cent after CSRC denied the report. BLOOMBERG