Alibaba's Ant Financials pumps $200 million into Zomato at $1.1 billion valuation

Alibaba's Ant Financials pumps $200 million into Zomato at $1.1 billion valuation

The aforesaid equity shares have been agreed to be bought by Ant Small and Micro Financial Services Group.

Upon closing, the companies will terminate the current profit-sharing arrangement under which Ant Financial pays royalty and technology service fees in an amount equal to 37.5% of its pre-tax profits to Alibaba.

The online giant also announced Thursday that it will take a 33 percent stake in Ant Financial, which owns Alipay.

According to the company's 2016 annual report, Ant Financial has 23 shareholders, with Junhan Investment and Junao Investment holding the highest proportion of investment, 6.34 billion yuan and 5.12 billion yuan respectively.

Alibaba continues to surge despite the growing competition in the e-commerce market; they managed to theoretically double their shares from previous year and keep a solid value of $523 billion.

Alibaba's revenues jumped 56 per cent year-on-year to $12.8bn (£9bn) in the final quarter of 2017.

In the Cloud       Alibaba's cloud computing revenue doubled since last year              Source Bloomberg
In the Cloud Alibaba's cloud computing revenue doubled since last year Source Bloomberg

Last year's event recorded 168.2 billion yuan (£19.33 billion) worth of transactions, a 39 per cent increase from the 2016 festival.

The company has also expanded its physical footprint through its "New Retail" initiative. During Singles' Day past year, Lazada drew a record-breaking US$123 million in sales.

Chinese largest e-commerce company, Alibaba Group Holding, posted a 56% rise in revenue in Q4 2017, surpassing analysts' expectations.

However, the cloud computing unit has yet to turn a profit, as Alibaba continues to spend aggressively to eke out solid market share and acquire new customers.

Alibaba, which has made billionaire founder Jack Ma one of China's richest men and a global e-commerce icon, has been on a roll, regularly beating revenue estimates. It's based in Hangzhou, China, the same hometown as Alibaba. Online retailer JD.com in January also opened its 7 Fresh chain of stores, which competes head-to-head with Alibaba's Hema Supermarket chain. The partnership let Ant Financial users make payments in restaurants across US.

More news: Super Bowl ad preview: Amazon's Alexa loses her voice in amusing spot

Related Articles

  • EBay Set to Drop PayPal As Main Payment Processor

    EBay Set to Drop PayPal As Main Payment Processor

    When customers checkout, they will have the option to stay on eBay and use Adyen's services - or leave the website and use PayPal. It allows its customers to use their account for both purchase and paying for goods, as well as to transfer and withdraw funds.
    Google plans to make Taipei its largest R&D center in Asia Pacific

    Google plans to make Taipei its largest R&D center in Asia Pacific

    This means Google now has a bonafide in-house phone team that it will no doubt be putting to good use developing new Pixel phones. Many of the HTC staff members had already been working with Google to develop the Pixel line, the companies explained.
    High Stakes Meeting in Moscow: Netanyahu and Putin

    High Stakes Meeting in Moscow: Netanyahu and Putin

    Dozens of airstrikes on weapons convoys bound for Lebanon have been attributed to Israel by foreign media reports. The premier has sought to persuade Russian Federation to limit Iran's presence near Israeli territory.
  • Brendan Cole 'in shock' after being axed from Strictly Come Dancing

    Brendan Cole 'in shock' after being axed from Strictly Come Dancing

    A spokesman for Strictly thanked Cole for "being part of the show since the beginning" and contributing to its success. I'm very proud of the whole show. "I'm a fan of the show, I love the show, the show comes first", he continued.
    United Kingdom  intends Brexit transition period deal early in year

    United Kingdom intends Brexit transition period deal early in year

    Calling the transition "a bridge" to Brexit, Davis said he is "confident" an agreement could be reached by the March European Council summit.
    Leicester make light work of Peterborough

    Leicester make light work of Peterborough

    Though, Leicester City will be hoping to do all they can to keep hold of the player who is the spearhead of their attack. The Leicester City star has responded brilliantly to being linked with a move to the Premier League champions.
  • US Reportedly Investigating Apple Over Software Updates That Slow Older iPhones

    US Reportedly Investigating Apple Over Software Updates That Slow Older iPhones

    Apple has since apologized for not being more forthcoming and is replacing batteries on older iPhones for $29, a $50 discount. These features will be included in a developer release next month and a user release this Spring.
    EasyJet CEO's Pay Cut a Solidarity Move

    EasyJet CEO's Pay Cut a Solidarity Move

    This is because the vast majority - 94% - of its pilots, who earn far more than cabin crew and other employees, are male. The company has set itself the goal of hiring women to 20% of new pilot jobs by 2020.
    House Republicans won't release the memo

    House Republicans won't release the memo

    Burr's assessment would be significant as he is one of the few lawmakers with access to all of the underlying intelligence. Trump allies want the memo released, with Iowa Congressman Steve King saying the allegations are "worse than Watergate".
  • Quiksilver clothing CEO missing after boat found off French coast

    Quiksilver clothing CEO missing after boat found off French coast

    Agnes served as the head of the company's France-based headquarters before taking control of the company in 2015. In a statement, the World Surf League noted the "deeply concerning reports " about Agnes' disappearance.
    Joe McKnight shooter found guilty of manslaughter

    Joe McKnight shooter found guilty of manslaughter

    McKnight went on to play at the University of Southern California before being drafted in 2010 by NY , where he played until 2012. Jurors were given four options from 24th Judicial District Judge Ellen Shirer Kovach per the Times-Picuyane.
    Democrat Joe Kennedy to respond to Trump's union speech

    Democrat Joe Kennedy to respond to Trump's union speech

    This won't be his first address before Congress - he made one past year shortly after his inauguration . The group manages a legal-defense fund for women who face sexual misconduct in the workplace.