Cinda Opts to Withdraw from Investment in Ant Group’s New Consumer Finance Company

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Asset management company China Cinda has decided to refrain from investing in Ant Group’s consumer finance vehicle.

On 13 January China Cinda informed the Hong Kong Stock Exchange that it will not be subscribing for shares in Chongqing Ant Consumer Finance (蚂蚁消费金融).

Cinda previously announced on 24 December that it had entered a share subscription agreement with Ant Consumer Finance and Ant Group to invest 6 billion yuan in Ant Consumer Finance for a 20% equity stake, making it the second largest investor after Ant Group, which would hold a 50% stake.

A spokesperson from Ant Consumer Finance said to state-owned media that it would confirm a new capital increase plan as soon as possible in accordance with market principles and under the guidance of Chinese regulators.