According to the Wall Street Journal, fintech Ant Financial, which is led by Jack Ma, is preparing a public offering (IPO) on two major stock exchanges, but none of them are in the United States. According to the publication, the firm’s papers should be offered for sale in Hong Kong and Shanghai, China.
The company that handles Alipay’s payments has not yet revealed details about the IPO plan, but experts indicate that this may be the biggest IPO of the year. Based on figures released so far, CNBC estimates that fintech may be more expensive than some banks in the United States and reach the market valued at up to $ 210 billion – with an expected revenue of approximately $ 14 billion.
To date, the biggest IPO ever recorded took place last year, when Saudi Aramco, an oil company valued at US $ 2 trillion, started selling shares and raised US $ 25.6 billion. Alibaba, created by Jack Ma, owns 2nd place and raised $ 25 billion when it hit the stock exchange in 2014.
Outside the United States
In addition to generating expectations, Ant Financial’s IPO is calling attention because it is exclusive to Chinese territories. The local listing should guarantee more strength for STAR Market, a Chinese stock platform launched last year and focused on technology companies in the country.
For American investors interested in the company, it will be necessary to “jump in” to be able to inject money into fintech. Although there are already ways to facilitate international investment, experts point out that tensions between China and the United States can influence the business.
According to the director of institutional business at market firm IndexIQ, “geopolitical tensions will definitely be an issue.” Still, the IPO of today’s biggest fintech could be a great opportunity for investors who want to explore possibilities outside the United States, commented the expert.