China said to fine Ant Group at least $1.1 bln

Asian Tech Press (July 7) -- Chinese regulators may announce on Friday a fine of at least 8 billion yuan (US$1.1 billion) against Ant Group.

Analysts believe the penalty means an end to a years-long regulatory overhaul of Ant Group, paving the way for the resumption of its IPO plans.

To date, Ant Group and Alibaba have not made any public response to the above news.

The People's Bank of China (PBOC) has been pushing for reforms at Ant Group after the digital finance leader's IPO, which raised up to 230 billion yuan (US$34.2 billioN), was called off in late 2020.

Since April 2021, Ant Group has been formally undergoing a comprehensive business restruct

The PBOC is expected to disclose the fine imposed on Ant Group in the coming days, although Friday wouuring, including transforming itself into a financial holding company that will accept the regulatory rules applicable to banks and financial institutions.ld be one of the earliest.

If the amount of the fine mentioned above is true, it will be one of the largest ever imposed on an internet company in China.

For the broader tech sector, the Ant Group fine will ignite hope that Beijing will finally unfetter its giant private sector and end a series of harsh crackdowns.

And the fine on Ant Group comes at a time when the Chinese authorities are actively boosting private sector confidence in order to promote a rapid economic recovery.

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