Ant Group Considers Acquisition of Haodf.com to Expand Healthcare AI Services

Alibaba-backed Ant Group mulls buying Haodf.com to boost AI services in healthcare

Jack Ma-backed Ant Group is in talks to acquire Chinese online platform Haodf.com to bolster its AI services in health care, Bloomberg News reported, citing people with knowledge of the matter. Ant Group, in which Chinese tech giant Alibaba (NYSE:BABA) holds a stake, intends to integrate its technology with a platform such as Haodf that provides online consultations with doctors, the report added. The discussions are still in the initial stages and could be subject to change, according to the report. Chinese media outlet Yicai had reported about the potential acquisition earlier. Ant has been boosting its presence in AI. It invested over 100M yuan into a video generation startup, AIsphere in April. The company has also been using the technology for foreign exchange transaction and fraud detection.

Jack Ma-Backed Ant Weighs Buying Health-Care Platform Haodf

Jack Ma-backed Ant Group Co. is in discussions to acquire Chinese online platform Haodf.com to beef up its artificial intelligence services in health care, according to people familiar with the matter. The fintech company is seeking to integrate its technology with a platform like Haodf that provides online consultations with doctors, the people said, requesting not to be named because the discussions are private. The deliberations are still preliminary and could be subject to change, the people said.

Report: Ant Group in Talks to Acquire Chinese Healthcare Platform Haodf.com

The discussions are in the early stages, according to the report. Ant Group did not immediately reply to PYMNTS' request for comment. Hoadf.com received funding from companies like Tencent Holdings and DCM Ventures and was valued at 6.5 billion yuan (about $907 million) in a 2017 funding round, per the report. Ant Group has been expanding in AI, according to the report. Its efforts in the field include investing in video generation startup AI Sphere, receiving regulatory approval from China to launch products powered by its large language model Bailing to the public, developing language model-powered applications for wealth management and insurance services, and open-sourcing its AI-powered coding platform CodeFuse. It was reported in May that Ant Group was expanding its business overseas to offset slowing growth in its home market of China. The company's profits dropped 19% in the December quarter and fell 92% in the previous quarter. Ant Group business unit Ant International's Antom in June acquired Amsterdam-based payment service provider MultiSafepay, saying it would integrate that company with Antom's own payment and digitization services. "With digital innovations, we look forward to building together more secure, flexible and efficient payment solutions with cross-sector partners, for small businesses to thrive in a truly inclusive and sustainable global commerce ecosystem," Gary Liu, general manager of Antom Global, said in a press release announcing the acquisition. When Ant Group launched its applications for wealth management and insurance services in September, the company said the language model powering them was specifically fine-tuned for AI applications in the financial services industry. Ant Group said this model surpasses general-purpose models in several key areas and the company intends to use it across all digital financial services in collaboration with institutions in the Chinese market.

Jack Ma's Ant Group Eyes Healthcare Expansion with Haodf.com Acquisition, Profit Down Amid Regulatory Hurdles - Alibaba Gr Hldgs (NYSE:BABA)

China's drug market could hit $20 billion by 2030, with AI driving growth. Alibaba Group Holding Limited BABA fintech affiliate Ant Group is reportedly in talks to acquire the Chinese online healthcare platform Haodf.com. The Jack Ma-backed fintech company aims to integrate its technology with Haodf.com which provides online consultations with doctors, Bloomberg cites familiar sources. China's chronic and autoimmune drug market is projected to grow at a compound annual growth rate of 27%, potentially reaching $20 billion by 2030, with AI likely playing a pivotal role, as per JP Morgan. Also Read: Alibaba Q1 Earnings: Revenue Miss Amid Price War, Profit Beat, International Commerce and Cloud Segments Shine Ant Group's profit dropped by 10.2% during the June quarter to $539 million. Ant Group has been battling intense domestic regulatory crackdowns since Chinese regulators scrapped its initial public offering at the last minute in 2020. The fintech giant remains engaged in various efforts to boost value. In 2023, Ant Group spent $2.9 billion (21.2 billion yuan) on research to accomplish its artificial intelligence ambitions. Ant Group developed a large language model, BaiLing, which has powered AI assistants on its Alipay platform. Ant Group's other activities include collaborating with Mastercard Inc MA to expand digital payment zones in Chengdu and Chongqing in Western China. Alibaba Stock Prediction for 2024 When buying a stock for a longer time horizon, it is important for investors to assess where they think the stock is headed in the future. When mapping a stock's future trajectory, investors should consider factors including the future earnings expectations and expected performance against a benchmark. Alibaba's revenue has grown at an average rate of 15.81% annually over the past 5 years. The average 1-year price target from analysts is $103.0, representing an expected 23.24% upside in 2025. While past performance is not a guarantee of future results, investors should also look at a stock's historical performance when compared to both a benchmark index and the company's peers. Shares of Alibaba have seen an annualized return of -23.33%, underperforming the S&P500 index by 30.69%. This compares to 1.19% growth in the overall Consumer Discretionary sector. Alibaba has a beta of 2.34. Price Action: BABA shares were trading higher by 4.89% at $83.43 at the last check Friday. Market News and Data brought to you by Benzinga APIs