Q&A on the Suspension of IPO by Ant Group Co., Ltd.

05 Nov 2020

Q: Tonight, Ant Group released a notice to announce that it would suspend the company's IPO process and issue refunds to investors. What does the Shanghai Stock Exchange (SSE) have to say about the development?

A: On November 5, Ant Group Co., Ltd. and its joint lead underwriters jointly announced that they had decided to suspend the planned IPO on the SSE STAR Market. It was a decision made by the issuer and the lead underwriters based on the actual situation. The SSE respects and supports the decision, and will work with relevant parties to facilitate the return of the subscription funds and other efforts. As Ant Group was summoned by the financial regulators for regulatory interview before the listing, and as the recent changes in the fintech regulatory environment may have a significant impact on Ant Group's business structure and profit model, the decision was a responsible move for both the market and the investors. On November 3, the SSE had decided to suspend the listing of Ant Group. After the suspension, the SSE will prudently handle the follow-up matters concerning the stock offering and listing of Ant Group in accordance with laws and regulations.