TOKYO – Among the most important signs that China is hitting the economic gas are two events now sending Alibaba Group shares into the stratosphere.
One was a clear signal from Guo Shuqing, party secretary of the People’s Bank of China, that “normal” is returning following Beijing’s tech-sector clampdown these last two-plus years.
The other: News that Jack Ma is ceding control of Alibaba’s fintech unit Ant Group. The company says Ma’s over 50% voting stake is being reduced to about 6%.
That may put to an end Ant’s efforts since late 2020 to placate Chinese leader Xi Jinping’s regulator after they shelved the group’s planned US$37 billion initial public offering, which would have been the world’s largest ever.