China’s banking regulators have given the go-ahead to the launch of a consumer financial vehicle in the central Chinese mega-city of Chongqing by fintech giant Ant Group.
On 17 September the China Banking and Insurance Regulatory Commission (CBIRC) gave its approval to the establishment of Chongqing Ant Consumer Finance Co., Ltd. (重庆蚂蚁消费金融有限公司).
Sources close to Chongqing regulators said to Cailianshe (财联社) said that a ceremony had been held on 20 September to commence preparations for the establishment of new consumer finance company.
Ant Consumer Finance will have registered capital of 8 billion yuan, while Ant Group will make a capital contribution of 4 billion yuan, for 50% of equity.
Other investors include Hong Kong’s Nanyang Commercial Bank (南洋商业银行), Beijing fintech firm SureKAM Corporation (北大千方科技), battery maker Contemporary Amperex Technology (宁德时代) and China Huarong Asset Management (中国华融).
Domestic reports in August indicated that Ant Group had already commenced the recruitment of personnel for the consumer finance company via local HR firms in Chongqing.