News

Alibaba s Jack Ma is lying low , says co-founder

Alibaba s Jack Ma is  lying low , says co-founder
Business
He had been set to become China s richest man yet again following the dual stock market debut of his digital payments company Ant Group - an affiliate of Alibaba - in Hong Kong and Shanghai, which was worth about $34.4bn (£26.5bn).

What was meant to be the world s biggest initial public offering was halted by Chinese regulators at the eleventh hour, citing "major issues" over regulating the company.

It is believed Mr Ma s criticism of the Chinese financial sector in October prompted the move.

Some analysts saw it as an attempt by Beijing to humble a company that had become too powerful and a leader who had become too outspoken.

At a financial technology conference, he had compared traditional banks to "pawn shops", lauding the merits of the digital banking system instead, as well as stressing that future lending decisions should be based on data, not collateral.

Ant Group runs Alipay, the main online payment system in China, which has eclipsed cash, cheques and credit cards.

Alibaba, which owns a third of Ant Group, saw its share price plunge on stock markets after the suspension was announced.

Following this, China announced an antitrust probe into Alibaba, which is China s largest e-commerce platform.

This culminated in Alibaba being fined $2.8bn by Chinese regulators in April, who said .

And two days later, Ant Group announced a drastic restructuring plan , with regulators forcing it to act more like a bank than a tech firm.

Mr Tsai, who is also the executive chairman of Alibaba, said that he disagreed with the idea that Mr Ma had become a maverick-like figure.

"The idea that Jack has this enormous amount of power, I think that s not quite right," he said. "He is just like you and me, he s a normal individual."

He added that after all his efforts, Mr Ma now just wanted to focus on the things he really wanted to spend time on, like philanthropy work and hobbies.

However, Mr Tsai said the firm was moving forward: "I think you have to separate what s happening to Jack and what s happening to our business.

"Our business is under some kind of restructuring on the financial side of things, and also in antitrust regulation.
Read more on bbc.com
News Topics :
Similar Articles :
Business
Ant Group s mega $37bn £27bn share market launch was derailed by regulators in November over concerns about its finance model. The latest move is part of a wider crackdown...
Top Stories
Jack Ma s businesses are under enormous pressure right now. But the co founder of China s most successful tech empire and legendary billionaire entrepreneur hasn t been heard from in...
Business
Alibaba Group s executive vice chairman Joe Tsai indicated that regulators have taken an interest in platforms like Alibaba as they grow in importance. We re happy to get the...
Business
The chief executive of China s Ant Group has stepped down for personal reasons as the online payment giant undergoes a restructuring. Simon Hu will be replaced by executive chairman...
Business
China’s central bank hauled in executives from Ant Group over the weekend, and ordered a major shake up of the company’s operations. The move comes about a month after regulators scuppered...