Jack Ma sees R48 billion erased from his net worth as Alibaba shares tank following Ant Group IPO delay
- Jack Ma lost about $3 billion ($48 billion) of his wealth on Tuesday after it was revealed that the Ant Group IPO would be delayed.
- Regulators in Shanghai and Hong Kong have suspended the highly anticipated IPO, which attracted $3 trillion in bids and was set to be the largest IPO in history.
- Shares of Alibaba, which owns one third of Ant Group, fell as much as 10% on Tuesday.
- Ma owns 4.2% of Alibaba, which is worth more than $775 billion.
- Visit Business Insider's homepage for more stories.
Alibaba owns 33% of Ant Group, and Jack Ma owns 4.2% of Alibaba, which has a market capitalization of about $775.5 billion.
Ant Group was set to go public via a dual listing on the Hong Kong and Shanghai exchanges this week in what was expected to be the largest IPO in history. Ant Group was set to raise nearly $35 billion in proceeds from the offering.
The deal was set to be so big that it attracted $3 trillion in bids, or roughly 872 times the exchange's supply of shares.
The suspension of the Ant Group IPO came one day after Ma and two top executives of Ant Group were summoned to meet with Chinese regulators. According to Reuters, regulators told the trio that Ant's "lucrative online lending business would face tighter government scrutiny."
Still, even with today's drop in shares of Alibaba, Ma is still worth about $54 billion, according to Bloomberg.
Receive a daily news update on your cellphone. Or get the best of our site emailed to you.
Go to the Business Insider front page for more stories.