Alibaba to buy Tianhong stakes

Chinese e-commerce company Alibaba Group is taking control of Tianhong Asset Management Co to accelerate its push into online financial services.

Tianhong shareholder Inner Mongolia Junzheng Energy & Chemical Industry Co said on Wednesday the investment of 1.18 billion yuan ($192.8 million) gives Zhejiang Alibaba E-Commerce Co, the parent company of online payment company Alipay, 51 percent of Tianhong.

Alibaba bought its Tianhong stake through a fundraising exercise that saw Tianhong's registered capital more than double to 514.3 million yuan from 180 million yuan.

Tianhong and Alibaba's Alipay, an online payment website, co-launched Yu'erbao in June. Yu'erbao allows Alipay users to buy wealth management products online.