Fintech Innovator Ant Group Unveils New Dividend Payments to Shareholders

Ant Group Launches New Dividend Payments

Ant Group, the fintech affiliate of Alibaba Group Holding, has officially initiated a new round of dividend payments to eligible shareholders and equity incentive holders. This decision was reported by several state-owned Chinese media outlets following a recent shareholders meeting.

Background of Dividend Payments

The latest dividend distribution plan was approved after considering factors like delivering reasonable returns to shareholders and ensuring sustainable business practices. Notably, this marks the third round of dividend payments, following rounds completed in December and March 2022.

Restructuring for Future Growth

Ant Group's announcement comes in the wake of its operational restructure into several independently run business units. Chief Financial Officer Cyril Han Xinyi has been promoted to president as part of this effort. The company has not disclosed the total amount for the new dividend distribution, although past dividends to Alibaba totaled approximately 12.5 billion yuan (US$1.8 billion) in 2022.

Investment in Technology Initiatives

As part of its long-term strategy, Ant Group is increasing investments in leading-edge technologies, particularly artificial intelligence (AI). The company introduced a new AI app, Zhixiaobao, which serves as a life assistant for various daily tasks. Plans for additional AI apps focusing on personal wealth and health management are also underway.

Global Expansion Efforts

Driving its international growth is the cross-border mobile payment service, Alipay+, which connects over 30 e-wallets and banking apps, servicing more than 88 million merchants as of June this year. This comes after extensive regulatory scrutiny from the People’s Bank of China, which concluded with a significant fine.