Risk Management
Ant-linked firms' shares rise after news of Jack Ma ceding control; Alibaba jumps
Reuters - 09 Jan, 2023
Shares of listed Chinese companies that count Ant Group as a major shareholder rose on Monday after announcements that Ant founder Jack Ma is giving up control of the fintech giant following an overhaul.
Hong Kong-listed shares of Ma's Alibaba (9988.HK) jumped 7%.
Shares of Longshine Technology Group Co Ltd (300682.SZ), Jilin Zhengyuan (003029.SZ), Shanghai Golden Bridge Infotech Co (603918.SS), Orbbec Inc (688322.SS) and Hundsun Technologies (600570.SS) also rose. Ant indirectly owns stakes ranging from more than 20% to slightly more than 5% in those companies.
Ant said over the weekend that founder Jack Ma will give up control of the company.
The overhaul seeks to draw a line under a regulatory crackdown that was triggered soon after its mammoth stock market debut was scuppered two years ago.
Redmond Wong, Greater China market strategist at Saxo Markets, Hong Kong, said Jack Ma's ceding of control of Ant and other businesses would help remove some uncertainties and pave the way to develop and expand the group's business.
Shares of listed Chinese companies that count Ant Group as a major shareholder rose on Monday after announcements that Ant founder Jack Ma is giving up control of the fintech giant following an overhaul.
Hong Kong-listed shares of Ma's Alibaba (9988.HK) jumped 7%.
Shares of Longshine Technology Group Co Ltd (300682.SZ), Jilin Zhengyuan (003029.SZ), Shanghai Golden Bridge Infotech Co (603918.SS), Orbbec Inc (688322.SS) and Hundsun Technologies (600570.SS) also rose. Ant indirectly owns stakes ranging from more than 20% to slightly more than 5% in those companies.
Ant said over the weekend that founder Jack Ma will give up control of the company.
The overhaul seeks to draw a line under a regulatory crackdown that was triggered soon after its mammoth stock market debut was scuppered two years ago.
Redmond Wong, Greater China market strategist at Saxo Markets, Hong Kong, said Jack Ma's ceding of control of Ant and other businesses would help remove some uncertainties and pave the way to develop and expand the group's business.