The share price of Yahoo! has fallen by 7 percent on the news that the search giant no longer holds an interest in Chinese payment provider Alipay. Until recently Alipay was part of the Alibaba Group, in which Yahoo! owns a 43 percent stake, but due to licensing restrictions in China owership has had to be moved to a separate company. Alibaba Group's founder and CEO, Jack Ma, confirmed that 100% of Alipay was now owned by Zhejiang Alibaba E-Commerce Co., Ltd, a Chinese company in which Mr Ma has majority ownership. The move was due to a ruling by the People's Bank of China (PBoC) which stated that financial institions such as Alipay must be wholly-owned by Chinese companies to ensure the security of domestic financial data. Yahoo! purchased a £1 billion stake in Alibaba Group in 2005, and it has proven to be one of the beleagured internet company's best investments. The holding hasn't been without problems though; Alibaba has repeatedly tried to secure its indepedence by buying out Yahoo!'s stake but this has been refused, leading to some degree of friction between the two companies. "It's not a secret that Jack Ma has been trying to negotiate a way to reduce Yahoo's stake. I would anticipate a lot of feverish discussions in the background between these parties." commented Eric Jackson of Ironfire Capital. Alibaba also owns Taobao, China's biggest online shopping site, and the loss of Alipay will raise fears with Yahoo! shareholders that Mr Ma will also attempt to spin off this lucrative business and away from Yahoo!'s ownership.