This Chinese Firm Is Launching World’s Biggest IPO; Will Raise Rs 2.5 Lakh Crore, At Rs 22.6 Lakh Cr Valuation
The Chinese fintech giant Ant Group has dual listed its company in the Honk Kong stock market as well as the Shanghai leg.
The fintech group has already set its initial public offering price in Shanghai but hasn’t revealed the amount for the same yet.
This gigantica dual listing for Ant Group Co. will be the world’s biggest, says the billionaire founder Jack Ma.
Sources reveal that the dual listing could together be close to $35 billion.
Ant Group’s IPO Valuation Higher than JPMorgan Chase & Co.
Speaking at the Bund Summit conference in the eastern financial hub of Shanghai on Saturday, Jack Ma announced that Ant has decided the IPO pricing amounts and will disclose the same by Tuesday (expectedly) for the China shares.
Sources have informed that Hong Kong’s price could be announced by Oct 29.
Ant Group Co., backed by Ma’s Alibaba is anticipated to surpass the record set by Saudi Aramco’s $29 billion share sale in 2019.
This IPO price will also give the Chinese fintech a valuation higher than JPMorgan Chase & Co. as well as the Goldman Sachs Group Inc.
Reuters has reported that several big investors have put in a bid of about 68 to 69 yuan per share, for the Shanghai stock.
Pricing Determined outside NYC!
Speaking at the summit, Ma informed,
“This was the first time such a big listing, the largest in human history, was priced outside New York City. We didn’t dare to think about it five years ago, or even three years ago. But a miracle just occurred.”
Speaking of which, the IPO is (naturally) gaining heavy traction from some of the biggest money managers all around the globe.
It is also to be noted that once the pricing details are out soon this week, investors will have to commit to it, before the U.S. presidential election, which could surely have a ringing effect on the same.
The company will issue no more than 1.67 billion shares in China, equivalent to 5.5% of the total outstanding before the greenshoe option, according to its prospectus on the Shanghai stock exchange.
The same amount can be dictated for the Hong Kong leg too.