A company 99.14% owned by Alibaba Group’s founder Jack Ma has signed an agreement to acquire 20.62% of Shanghai-listed financial software company Hundsun Technologies Inc. for RMB3.299 billion ($530 million) in cash, according to a company announcement.
The share purchase agreement is signed between Zhejiang Rongxin Technologies Ltd. and the 17 individual shareholders who own 100% of Hundsun Technologies Group.
Hundsun Technologies Group owns 20.62% of Hundsun Technologies Inc.
Zhejiang Rongxin Technologies is 99.14% owned by Jack Ma, with the remaining shares owned by Xie Shihuang, vice president and co-founder of Alibaba Group.
The deal is pending approval by the Ministry of Commerce of China.
According to Hundsun Technologies’ 2012 annual report, the company’s financial technology products and services takes up 93%, 80%, 90% and 75% of the core markets in the mutual fund, brokerages, insurance and trust products sectors in China.
Trading of Hundsun Technologies’ stocks have been suspended, and will resume on April 8.