Ant Group says it is going to assist staff monetize shares and can decide to itemizing after a canceled IPO
An Ant Group logo is pictured at the company’s headquarters, a subsidiary of Alibaba, in Hangzhou, Zhejiang Province, China, on October 29, 2020.
Aly Song | Reuters
GUANGZHOU, China – Ant Group will find a “liquidity solution” for employees to monetize stocks after the massive IPO is carried out by regulators, according to a top executive at the company.
Eric Jing, Executive Chairman of the Chinese financial technology company founded by Alibaba founder Jack Ma, has also committed to adding the company to the list.
An employee posted on the Ant Group’s internal message board asks about the company’s future and talent retention. In response, Jing said the tech giant was looking into a “short-term liquidity solution” for employees due to go into effect in April without elaborating on what that might mean, a person who saw the memo told CNBC.
The Ant Group declined to comment when contacted by CNBC.
The Wall Street Journal first reported the contents of the news.
Many Ant Group employees will hold shares in the company as compensation. Typically, employees can cash out or monetize these stocks when the company is acquired, goes public, or management decides to buy back stock.
Ant Group, the owner of the popular Chinese mobile payment app Alipay, planned a $ 34.5 billion initial public offering in Shanghai and Hong Kong in November that would have been the largest of all time. However, regulators forced the company to stop listing two days before trading began. Ant cited “major issues like the changes in the regulatory environment of financial technology” for the cancellation.