Photo: Xinhua

 
Ant Group will return the 120 billion HKD ($15.48 billion) funds from institutional investors after its IPO was put on hold on Tuesday. A total of 10 million shares that were traded over the counter will be voided, according to media reports. 

On Wednesday morning, Ant Group also disclosed its plan of refund on the Hong Kong Stock Exchange, noting that the money it collected from investors who had subscribed to its IPO will be returned without interest in two batches on Wednesday and Friday.

Ant Group's planned IPO, which was expected to be the biggest in history, was put on hold on Tuesday evening. The IPO was anticipated to raise $34.4 billion in total.

The share price of Ant Group's parent company Alibaba in Hong Kong plunged more than 9 percent upon opening on Wednesday morning. Prices for Tencent Holding and Hong Kong Exchanges and Clearing were also both down 4 percent.

The detailed reasons behind the IPO suspension is not yet disclosed, but Any Group is reported to have held an emergency meeting of top-level management members on Tuesday night, which predicts that the listing of Ant Group would be delayed by around six months from its original schedule,  according to media reports citing people close to the matter.

The Hong Kong Stock Exchange on Tuesday said that it has experience in handling the decision not to proceed with an IPO after its subscription period. The regulatory authority in Hong Kong will ensure an orderly refund, and it does not involve any systematic risks, according to the spokesperson for the Hong Kong SAR government.