May 20, 2022
Ant Group

China’s Ant Group Co. Ltd. has received approval from the Hong Kong stock exchange for offshore leg of its eagerly-anticipated IPO, the final regulatory hurdle it needed to clear prior to the launch of its dual listing, expected to be worth about $35bn.

Ant Group, which is backed by Chinese e-commerce giant Alibaba, passed the hearing with the exchange’s Listing Committee on Monday, a source close to the matter said. The development follows on from the Shanghai Stock Exchange’s decision to approve the domestic leg of the listing last month.

The fintech giant, which is controlled by founder Jack Ma, is seeking concurrent listings in Shanghai and Hong Kong. The IPO is widely expected to be the largest ever, surpassing the $29.4bn record set by oil giant Saudi Aramco last year.

Ant is looking to increase its offering size from the originally planned $30bn, following positive feedback from potential investors. The company plans to commence pre-marketing this week, with a view to commencing trading shortly after the Nov. 3 U.S. presidential election, said the source.

The Chinese firm’s flagship product is the Alipay mobile payments app, which has over 700 million monthly active users. Additional revenue comes from technology products supplied to the banking industry.

Reuters reported last month that Singapore state investor Temasek Holdings and sovereign wealth fund GIC Pte Ltd. were interested in the Ant Group IPO, as well as Saudi Arabia’s sovereign fund PIF.