Markets

Apparently difficulties with stock market debut

D.he world’s largest IPO is apparently on the brink: two days before the planned debut, the Shanghai stock exchange thwarted the payment processor Ant Group. The group will not be listed in the “Star Board” segment for the time being, the operator announced on Tuesday. The company is unlikely to meet the disclosure obligations due to changed regulations.

Ant wanted to debut on the Shanghai and Hong Kong stock exchanges simultaneously on Thursday. With an issuing volume of 37 billion dollars, the subsidiary of the Chinese Amazon rival Alibaba would push the oil company Saudi Aramco from the throne of the world’s largest IPO.

Fund managers had previously stated that they expected strong price gains in the upcoming stock market debut. Because most of the small investors went empty-handed in the world’s largest IPO of the group belonging to Amazon rival Alibaba, the market value could more than double at the start of trading on Thursday, the experts said. Inclusion in important global indices will also drive demand for the shares. “Ant will be the icon of the market,” said fund manager Zhang Yingbiao of Shenzhen Longteng Huijin Fund Management.

Ant is China’s dominant mobile payments company, which also offers its customers loans, insurance and asset management through apps. The IPO brought in $ 37 billion, surpassing the previous record emissions from oil giant Saudi Aramco, which raised around $ 29 billion in 2019. The mega IPO values ​​the company, which belongs to the company empire of Alibaba founder Jack Ma, at around $ 315 billion.

After the US presidential election, Ant wanted to hit the stock exchanges in Shanghai and Hong Kong at the same time on Thursday. In Shanghai, the listing in the so-called Star Market was planned, which was created on the model of the New York technology exchange Nasdaq.

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