Alibaba Group Holding Limited BABA founder jack ma is reportedly planning to relinquish control of the e-commerce giant ant finance sister company.

What happened: Ma’s 10% stake in Ant will drop to 6.2% under the proposed plan, Reuters reported. Its affiliates also have interests in Ant, which together give it a controlling stake in the fintech, which will change as part of the overhaul, the report said.

The development could pave the way for Ant to revive its shelved IPO, analysts said, according to Reuters.

Ant initially filed for an ambitious $37 billion IPO in 2020, hoping to list its stock on both the Shanghai and Hong Kong stock exchanges. In China, the stock should be listed on the STAR market, which is similar to the Nasdaq stock exchange in the US. The Shanghai Stock Exchange later announced the suspension of the IPO on the grounds that the company did not meet the conditions for a listing or information disclosure requirements in light of significant issues such as the changes in the financial technology environment.

The postponement of the IPO was seen as a move by the government to crack down on high-profile companies to rein them in and curb their growth. Regulators also wanted Ant to organize itself as a financial holding company, which would subject it to additional regulatory scrutiny and tighter capital control norms.

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What’s next: The company has announced a corporate restructuring initiative, including the formation of new boards and adjustment of voting rights.

According to reports earlier this week Ant received regulatory approval to raise approximately $1.5 billion in cash for its consumer credit arm. It recently announced that a leadership change and updated its marketing policies to comply with consumer protection regulations.

However, the change in control structure could delay the IPO due to listing regulations that require companies listed on the domestic…