Ant Group’s Consumer Finance Restructuring Hits Speedbump as State Firm Decides It Won’t Invest

Ant Group Co. Ltd.’s consumer finance unit is adjusting its plan for a 22-billion-yuan ($3.5 billion) funding round after a state-owned bad-debt manager pulled out.

China Cinda Asset Management Co. Ltd. announced Thursday it had withdrawn from the share subscription agreement that would have seen it inject 6 billion yuan into Chongqing Ant Consumer Finance Co. Ltd. The decision came after “further prudent commercial consideration and negotiation,” Hong Kong-listed Cinda said.