Jack Ma, Alibaba Group Holding’s co-founder and executive chairman, has announced plans to retire from the e-commerce company on Monday, as he looks to devote his time on philanthropy in education, the New York Times reported.
He will announce a succession plan on Monday to hand the reins of his sprawling empire to a new generation of leaders but will remain executive chairman for the time being, said Reuters.
It was not immediately clear whether the company will appoint a new chairman, said the report.
Ma will announce the plan on his 54th birthday and the handover strategy will stretch over a significant period of time, the South China Morning Post (SCMP) newspaper reported citing a company spokesman.
Ma, who founded Alibaba in 1999, stepped down as chief executive in 2013. He currently serves as the company’s global face at top political and bushiness events.
Ma, China’s third richest person with a net worth of $36.6 billion according to Forbes magazine, was quoted by the New York Times as saying his retirement was not the end of an era, but the beginning of one.
While Ma’s retirement from a formal role is a milestone, analysts and industry professionals say it is unlikely Ma’s involvement will change significantly, said New York Times.
“I don’t think it means that much, frankly. He stepped back from the CEO role about four or five years ago and very specifically made a comment about wanting the younger people to lead the company,” said Kevin Carter, founder of The Emerging Markets Internet exchange-trade fund.
“I’m sure he’ll be just as involved as he has been in his chairman role, even if he doesn’t have the formal title,” said Carter.
Ma, who turns 54 on Monday, oversees a number of charitable projects in education and environmental fields. He is a cult figure in China’s internet industry and has attracted a big following among entrepreneurs and in pop culture, said the report.
Led by Ma, Alibaba was founded by 18 people. China’s biggest e-commerce firm now has more than 66,000 full-time employees, according to the company’s latest annual filing.
The company had a market value of about $420 billion as of Friday’s close.
