(Yicai Global) Jan. 9 -- Jack Ma, the founder of Ant Group, is relinquishing his majority voting rights in the Chinese fintech giant as part of a major reshuffle in which no shareholder will be allowed ‘sole or joint control’ over the company as the firm attempts to get back on track following an aborted initial public offering in 2021.

Ma’s voting rights have been whittled down to 6.2 percent, Ant said on Jan. 7. Ma, who is also founder of e-commerce giant Alibaba Group Holding, used to hold 53.4 percent in Ant through an acting-in concert pact with three other individuals, Ant Chairman Eric Jing, former Ant Chief Executive Officer Simon Hu and Alibaba co-founder Jane Jiang, who together controlled an entity called Hangzhou Yunbo Investment.

Yunbo Investment, in which Ma held a 34 percent stake and each of the others 22 percent, owned 31.04 percent and 22.42 percent of Ant through two subsidiaries Hangzhou Junhan Equity Investment Partnership and Hangzhou Junao Equity Investment Partnership.

After the rejig, Yunbo Investment will only hold the 22.42 percent stake in Ant through Hangzhou Junao, and the addition of another stakeholder will see the equity held by Ma and the other three original stakeholders in Yunbo diluted to 20 percent each.

Meanwhile, Hangzhou Xingtao Enterprise Management Consultancy will take over Hangzhou Junhan’s 31.03 percent stake in Ant, and Ma and four others will each hold 20 percent equity in Hangzhou Xingtao.

"The Adjustment is being implemented to further enhance the stability of our corporate structure and sustainability of our long-term development," Ant said. "The Adjustment will not result in any change to the economic interests of any shareholders … and will not affect day-to-day operations.”

After the restructuring, Ant’s ten major stakeholders will “independently exercise their voting rights” and there will be no more joint voting, it said.

Ant has no plans at present for another IPO, after the unsuccessful attempt in October 2021, and the company is still focusing on rectification and business upgrading, Beijing Business Daily reported yesterday, citing company insiders.

Ant’s listing on the Shanghai Stock Exchange’s Star Market was shelved as part of new government regulations to rein in internet-based giants. Since then, Ant has been undergoing a thorough revamp, including increasing the number of independent directors as well as forming risk-management, consumer rights protection and sustainable development sub-committees, it said.

Editor: Kim Taylor