Ant Financial Services Group, formerly known as Alipay, is an affiliate company of the Chinese Alibaba Group. Ant Financial is the world's highest-valued FinTech company, and most valuable unicorn company, with a valuation of US$150 billion. In March 2019, The Wall Street Journal reported that Ant's flagship Tianhong Yu'e Bao money-market fund was the biggest in the world, with over 588 million users of Ant's mobile payments network Alipay contributing, more than a third of China's population.
History
was rebranded as Ant Financial Services on 23 October 2014. In 2015, Ant Financial raised $4.5 billion in a funding round with investors including China Investment Corp, CCB Trust, China Life, China Post Group, China Development Bank Capital and Primavera Capital Group. In 2015, the company was valued at about $45 billion. As of 26 April 2016, Ant Financial had around 450 million annual active users, with Credit Suisse estimating that 58% of China's online payment transactions went through Alipay. In September 2016, Ant Financial bought EyeVerify Inc. By late January 2017, Ant Financial had a valuation of $60 billion. On 26 January 2017, Ant Financial Services Group announced a deal to acquire MoneyGram International for $880 million. In January 2018, the companies decided to terminate the deal after approval was not granted from the Committee on Foreign Investment in the United States due to U.S. national security concerns. The same month, the Cyberspace Administration of China stated that Ant Financial had failed to meet the country's personal data protection standards. In September 2017, Ant Financial formed a joint venture with Sir Li Ka-shing's CK Hutchison Holdings to launch a digital wallet service in Hong Kong. In June 2018, the company launched a blockchain-powered cash remittance service that will allow real-time cash transfers between Hong Kong and the Philippines. On 9 June 2018, the company raised around US$14 billion, which the Times of India called "the biggest-ever single fund-raising globally by a private company". In November 2019, the company announced to be raising $1 billion for a new fund, with the aim to expand the firm's investment activities in India and Southeast Asia. According to media reports, the fund is meant to provide late-stage funding to startups. In January 2020, Ant Financial has applied for a digital banking licence in Singapore. Ant Financial is in discussions with banks to revive plans for an IPO.
Expansion outside Asia
Driven by the growing numbers of Chinese tourists around the world, Ant Financial has sought to expand its services into Europe and the United States. In Europe, the company had tripled the number of merchants that are accepting the Alipay app, according to the firm's head of Europe division. Partnerships exist between Alipay and various European digital wallet apps, including ePassi, Vipps, MOMO, Pagaqui and Bluecode. On 14 February 2019, Ant Financial acquired the British international money transfer services provider WorldFirst for $700 million. In March 2019, UK's Barclaycard expanded an agreement that enabled British retailers to accept the Alipay app in their stores.
Services
It operates Alipay, the world's largest mobile and online payments platform as well as Yu’e Bao, the world's largest money-market fund. It also runs Sesame Credit, a third-party credit rating system. As of September 2017, Ant Financial unveiled its facial recognition payment technology through its Alipay services. In September 2018, the company launched the Ant Financial Technology brand for all of its technology products and services. In 2015, Alibaba and Ant Financial Services Group created financial company Koubei as a joint venture. Ant Financial also operates credit payment company Huabei, and the online bank called MYbank. In 2015, Ant Financial launched Ant Fortune, a wealth management platform. Yu’e Bao is one of the products on the platform. Ant Fortune offers hundreds products from more than 80 Chinese fund institutions. In June 2017, Ant Fortune launched a Fortune Account service platform that allows financial institutions to publish content and sell their financial products there.
Subsidiaries
Alipay – a mobile wallet and payments app
Huabei - a virtual credit card type of product that facilitates credit payments
MYbank - a private online bank that lives entirely on the cloud
Jiebei - a consumer loan service
Ant Fortune - a comprehensive wealth management app
Ant Insurance Services
Zhima Credit - an independent credit filling and scoring service for individuals
Ant Financial Cloud - a cloud service for financial institutions
ZOLOZ - a global biometric-based identity verification platform