AGTech gains approval for controlling stake in Ant Bank (Macao)

Jenny Ortiz August 19, 2024

AGTech Holdings Limited, a lottery and integrated technology company, has received the green light from Macau regulators to attain a controlling stake in Ant Bank (Macao) Limited. In a press release, AGTech confirmed the regulatory approval for its acquisition through a share transfer and capital injection, positioning the company as the majority shareholder of Ant Bank.

AGTech emphasised that the transaction will be completed once all closing conditions in the share transfer agreement have been fulfilled or waived. “The said completion will take place after all the closing conditions have been fulfilled, after which Ant Bank will become an indirect non-wholly owned subsidiary of AGTech,” the company stated.

Transaction details and financial scope

The deal, valued at MOP243 million (€27.5 million), was first disclosed in February 2024. AGTech announced that it would acquire existing shares and subscribe to new shares, raising its stake in Ant Bank to 51.5 percent. This marks a strategic alignment with AGTech’s vision to bolster digital financial services in Macau and the Greater Bay Area. Once completed, Ant Bank will be integrated into AGTech’s financial statements as a non-wholly owned subsidiary.

“The Transaction aligns with AGTech’s strategy to support the digital transformation of financial services in Macau and the Greater Bay Area,” the company added.

Cross-border financial services

AGTech plans to leverage synergies between its electronic payment services and Ant Bank’s digital banking solutions. This collaboration will connect digital banking with AGTech’s ecosystem, integrating services like payments and inclusive finance to cater to Macau’s residents and small and medium-sized enterprises (SMEs). The move also aims to attract cross-border tourists to Macau, aligning with the city’s tourism-driven economy.

“With synergies from Alibaba Group, Ant Group’s resources, and AGTech’s business units in life services and e-commerce, we aim to create unique cross-border financial services,” AGTech commented. These efforts are designed to diversify the company’s revenue streams and promote economic growth in Macau.

Expansion into digital financial services

Ant Bank, a key player in Macau’s digital banking and payment sector, provides services such as deposits, loans, and cross-border remittances. Through this acquisition, AGTech will expand its business scope, moving beyond digital payment services into digital financial services.