Ant Financial said to be in talks to raise US$10b in Temasek-led IPO
Deal could give Ant a US$150b valuation, making it the world’s largest start-up
Ant Financial is hoping to raise at least US$10 billion in a funding round that could make the Chinese payments giant controlled by Alibaba Group the world’s biggest start-up, according to sources familiar with the matter.
The deal could value Ant at US$150 billion, they said, while Singaporean state investment firm Temasek Holdings is believed to want to be the lead investor ahead of the highly anticipated initial public offering.
The company, in which Alibaba plans to acquire a one-third stake, controls China’s premier mobile payments service Alipay, which has moved deeper into areas from consumer lending to credit scoring.
Alipay has been instrumental in driving Alibaba’s core business and is increasingly employed in physical stores around the world, shadowing the movements of Chinese tourists. Alibaba shares rose 4.3 per cent in Tuesday New York trading.
If Ant achieves its desired valuation, that would mark a major spike for an online behemoth valued at US$75 billion just a few years ago by CLSA. Ant Financial and Temasek declined to comment. The Wall Street Journal first reported on Ant’s fundraising plan.