Chinese online finance behemoth Ant Financial announced on Friday a 14 billion US dollar series C equity financing round, which will be used to support the company’s globalization strategy and inclusive financial services.
The latest round of financing includes an RMB tranche raised by Ant Financial from domestic investors, and a USD tranche raised from international investors by Ant International Co., Limited (“Ant International”), a wholly owned offshore subsidiary of the company, according to its press release.
Participants in the RMB tranche of the series C equity financing are mainly existing shareholders, and participants in the USD tranche include global institutional investors GIC, Malaysia's sovereign wealth fund Khazanah Nasional Berhad, Warburg Pincus, Canada Pension Plan Investment Board, Silver Lake, Temasek and General Atlantic.
Funds raised will be used to accelerate the globalization strategy of the company’s mobile payment tool Alipay, and to further enhance the company’s inclusive financial services to unbanked and underbanked consumers and small enterprises globally, as well as to cultivate high-tech talents in emerging markets, the company said.
“Now, with the help of our partners, we are going to accelerate our strategy,” said Eric Jing, Executive Chairman and CEO of Ant Financial.
“We will continue to invest in technology and innovation in order to serve unmet financial needs of people everywhere.”
By the end of March 2018, together with its global JV partners, Ant Financial served 870 million users worldwide.
Growing beyond the online payment service that the company started with, Ant Financial has diversified its business to credit services, asset management, online banking and more financial services across different industries.
As a challenger to the banking industry, the company has worked with traditional banks to support their digitalization transformation, helping institutions such as China CITIC Bank, China Everbright Bank, and Shanghai Pudong Development Bank.
The financing comes ahead of a widely expected initial public offering, though Ant Financial, which has not set a timetable for the IPO, declined to comment.
