China’s Central Bank: Ant Group’s IPO suspension is to protect the interest of consumers and investors

A senior central bank official stated on Friday that China’s decision to halt Ant Group’s planned initial public offering (IPO) was based on careful consideration of safeguarding the interests of financial consumers and investors.

The financial services company said that it hoped to raise $37 billion from the market by launching the world’s largest IPO, beating Saudi Aramco’s $29.4 billion listing.

“The decision was made in accordance with laws and regulations… and about maintaining stable, healthy market development in the long term,” People’s Bank of China (PBOC) Deputy Governor Liu Guoqiang stated in an interview.

“The CBIRC also supports this decision made by the Shanghai Stock Exchange. Any listed company must comply with the requirements of relevant laws and regulations,” he added.

Ant Group stated that it would seek further guidance from the older Alibaba Group to negotiate and navigate the strict regulatory environment of institutional lending in the Chinese market.