Ant Group Wants To Reduce Its Paytm Holdings

New Delhi
Ant Group Co. is considering selling some of its stake in Paytm’s operator in order to keep its shareholding below a necessary level. According to the people, who requested anonymity because the dialogue is private, as One 97 Communications Ltd.’s share % increased passively as a consequence of share buybacks, the Chinese fintech giant has been considering possibilities to reduce its ownership in the company.
Details may alter in response to regulatory and pricing concerns as the conversations are still in their early stages. Ant sent email requests for comment, but no response was immediately received. Paytm made the decision to offer an opinion. Ant is asking for permission to submit a request for a financial holding company license in China, which would enable it to carry on with its fintech operations. A hint of improvement is that regulators recently let the company’s unit in consumer lending increase capital.
Billionaire Jack Ma, who has often shied away from the limelight, has announced he will give up administration of Ant while he still holds equity in the company. This announcement comes amid a larger retreat.