ANT Financial Services Group, an affiliate of Chinese e-commerce titan Alibaba, is in negotiations for funding that have reached a “critical stage” and value the company at US$30 billion, news magazine Caixin reported yesterday.

    The report cited unidentified sources as saying China’s State-backed social security fund, Postal Savings Bank of China, and CDB Capital, an investment arm of China Development Bank, would be among the strategic investors in discussions for stakes of 5 percent, 3 percent and 3 percent respectively.

    Alibaba spokeswoman Teresa Li, speaking on behalf of Ant Financial, said the company did not comment on market rumors or speculation as a matter of policy.

    Ant Financial runs Alipay, China’s most widely used online payment platform and which is seen as a crucial part of Alibaba’s business.

    Ant Financial is controlled by Alibaba’s executive chairman Jack Ma and other senior Alibaba executives, after the company announced in 2011 it had spun off Alipay from the rest of the firm.

    Total payment volume over Alipay was US$778 billion in the 12 months ended June 30, 2014. In the same period, 78.1 percent of Alibaba’s gross merchandise volume, the total value of goods ordered, on its China retail marketplaces was settled through Alipay.(SD-Agencies)