Chinese fintech giant Ant Group has increased its registered capital to RMB 35 billion ($5.44 billion) from RMB 23.8 billion, as the company undergoes government-mandated restructuring, reports Reuters. Ant, an affiliate of e-commerce leader Alibaba, said in a statement on Monday that the increase was to support growth and was “according to relevant regulations and business needs.”
Authorities in April ordered sweeping restructuring at Ant after halting the financial technology (fintech) firm’s record $37 billion initial public offering in November, underscoring government determination to rein in its internet giants. The overhaul subjects Ant to tougher regulatory oversight and capital requirements.
Ant said the 47% jump in registered capital comes from “capitalization of the company’s capital reserve.” It said it had not engaged in any fundraising activity and that no additional investors were involved.