Alibaba Join Hands With Foxconn
Alibaba is onto many different deals according to Forbes.
Alibaba Group Holding is one of the biggest companies in the tech industry and certainly the biggest in China. In a short span of time, the company has become a disruptive force which has given competition to all domestic and international businesses. However, Alibaba’s businesses do not really have a strong international market presence, but it is currently working on it. According to Forbes, the new fund raising headlines are full with the Chinese e-commerce giant’s name where Jack Ma is doing what he does best.
Reportedly, the founder of the company, Jack Ma, is working on to make a deal or forges a new partnership in the coming days. As it is known, the deal is not said to be as much of dollar investment as it is supposed to be but the partnership will prove to be beneficial for both parties. Forbes put it as “…..but both provide some insight on the kinds of partners and tie-ups that Ma is pursuing for both the New York-listed Alibaba and its separate but affiliated Ant Financial unit.”
The first deal of the company is within Asia only and it is quite Japanese. Sources suggest that Alibaba is investing together with Taiwan’s Foxconn, more like co investing, in a robot manufacturing venture which is supported by Japan’s Softbank. Furthermore, this venture has previously backed Alibaba.
According to Forbes “This investment looks somewhat silly on the surface, at least based on photos from the announcement event that show Ma together with the chairmen of Softbank and Foxconn, all standing behind a quirky-looking robot named Pepper. But the trio in the photos, Ma, Softbank’s Masayoshi Son and Foxconn’s Terry Gou, are 3 of Asia’s top tech names, meaning we should probably take this new tie-up at least a little seriously.”
The second deal include Ant Financial which is the biggest payments business in China. It is believed that with the help of Chinese funds, Alibaba’s finance arm is now valued at more than $45 billion. However, it is still well behind its affiliate Alibaba that is worth at a value of $215 billion. But Ant Financial is considered as the fourth most valuable internet company of China behind the Big 3 that includes Alibaba Group, Tencent Holdings, and Baidu.
Forbes reported “Investors in the new round are all Chinese names, including China’s National Social Security Fund. The latest valuation looks somewhat impressive, but it’s actually only up 10-20 percent from the $35-$40 billion that Ant was worth following another investment early this year.”
