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StanChart, Ant Group to partner in green finance, global fund management

Published 31/07/2023, 10:28
© Reuters. FILE PHOTO: Ant Group sign is seen at the World Artificial Intelligence Conference (WAIC) in Shanghai, China July 6, 2023. REUTERS/Aly Song/File Photo
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By Roxanne Liu and Selena Li

(Reuters) - China's Ant Group and Standard Chartered (LON:STAN) said on Monday they will work together in green finance and global fund management, broadening their existing partnership.

The deal is the first high-profile tie-up between Ant and a major foreign bank since authorities cancelled a planned mega-IPO by the fintech giant in 2020.

StanChart will help Ant build "an industry-leading global liquidity and foreign exchange management structure", they said in a joint statement.

Ant did not immediately respond to a request for comment on what that might entail. A StanChart spokesperson did not explain further when contacted on the matter.

They also plan to enhance collaboration in environmental, social and governance, digital innovation and inclusive finance, the statement said.

Chinese authorities this month slapped Ant with a fine of 7.12 billion yuan ($996 million) for violating consumer protection and corporate governance laws. The penalty, one of the largest ever for an internet company in China, marked an end to a years-long regulatory overhaul of the company.

Ant and StanChart in 2017 signed a memorandum of understanding that aimed to increase access to financial services for clients based in countries along China's strategic "Belt & Road Initiative" route.

© Reuters. FILE PHOTO: Ant Group sign is seen at the World Artificial Intelligence Conference (WAIC) in Shanghai, China July 6, 2023. REUTERS/Aly Song/File Photo

Ant also hired StanChart as one of the lead arrangers and book runners for the $6.5 billion sustainability-linked syndicated loan it took out last year.

($1 = 7.1479 Chinese yuan)

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