On June 6, according to foreign media reports, informed sources revealed that both the technology giants of Ali and Tencent have requested that investment banks providing services for themselves should not provide services for each other.
Several informed sources said that such requirements have actually divided the investment bank into two camps.
A banker stated that Alibaba's affiliate Ant Financial required some banks to sign a "very restrictive non-competition" agreement, which stipulated that they could not provide services to Tencent entities. Ant Financial is approaching the completion of a new round of financing of US$10 billion.
He also cited as an example that this is not without precedent in the United States. For example, in the United States, if you provide banking services for Coca Cola, you cannot provide PepsiCo with banking services.
Another insider said that Ali and Tencent "loyalty loyalty", so do not want to hire those "will be a competitor's service provider, will be in your next transaction (recruitment advice) against you" rdquo; ;banker.
He added that this also involves the issue of confidentiality. Both companies are major players in the areas of e-commerce, cloud services, and payments. If there are third parties who work for both companies at the same time and have access to both parties' data and strategic details, it may create a conflict of interest.