Alibaba founder jack ma acquisition program are in the United States government, a remittance firm, an expert panel rejected the national security concerns, this is Donald Trump (Donald Trump) of the government’s most high-profile deals in China.
The collapse of the us $1.2bn (885 million pound) deal was a blow to jack ma, executive chairman of the Chinese Internet conglomerate.
MoneyGram international was acquired by ant financial, a financial services and payment processing company jointly owned by jack ma and alibaba executives.
He wants to expand the footprint of ant finance in the fierce domestic competition of rival tencent’s WeChat payment platform.
Mr. Ma, the Chinese citizen who has frequently appeared with the country’s top communist party leaders, promised at a meeting a year ago that the U.S. President would create $1 million in jobs.
Shares of MoneyGram fell 8.5 percent on Wall Street on Wednesday morning.
The committee on foreign investment in the United States (CFIUS) rejected their recommendations to ease concerns about the safety of data that could be used to identify U.S. citizens, according to sources familiar with confidential discussions.
“Despite our best efforts to work with the us government, it is now clear that CFIUS will not approve the acquisition.” The chief executive of speed huijin issued a statement late Tuesday.
The us government has intensified its stance on selling to Chinese entities when Mr Trump is trying to pressure China to help address north Korea’s nuclear ambitions and make it easier to deal with trade and currency issues.
American companies are trading is Chinese acquisitions of the latest transaction, the company failed to clean up by CFIUS, including buy-out fund, supported by the Chinese American chipmakers laidi Canyon at the semiconductor company, Bridge Capital Partners, a purchase of $1.3 billion.
In November, China’s pan-sea holding group and Genworth Financial extended the deadline to April 1, with the Chinese group planning to buy American life insurance for $2.7 billion.
A spokesman for China’s foreign ministry on Wednesday asked Beijing to reject the agreement, saying the two sides’ cooperation in the economic and trade area is mutually beneficial.
* we hope that the United States can create a fair and predictable environment for Chinese enterprises to invest in entrepreneurship. ”
However, comments from the official xinhua news agency, published after the collapse of the deal, further described the decline between the two countries, with the us “falling into a zero-sum mentality”.
“If the U.S. government goes its own way, China and the United States are about to experience a bumpy trade trip in 2018, China’s retaliatory measures can be put on the table,” it said.