China’s JD.com Raises Almost $4bn in Hong Kong Share Sale
China’s second largest online retailer JD.com has raised almost $4bn (£3.2bn) after making its Hong Kong Stock Exchange debut on Thursday.
Its shares jumped by more than 5% after listing, marking the second-largest share sale this year.
The move comes as pressure grows in the US on Chinese companies amid escalating tensions between the two economies.
Several other firms that are based in China are now preparing similar listings in Hong Kong.
The Initial Public Offering (IPO) coincides with JD.com’s largest annual online sales event and comes hot on the heels of the Hong Kong debut of Nasdaq-listed gaming giant NetEase.
Last week, shares in NetEase, which is China’s largest gaming firm, made a solid stock market debut in the city as it raised $2.7bn.
In an interview with Asia Business Report on Thursday, Ling Chenkai, Vice-President of JD Retail said the listing was “a big thing for JD” as it can help promote the brand in the Greater China area. “It also can help those Chinese investors and Asian investors to understand JD better and more clearer which can help us to gain trust from those investors and customers.”
The listing of JD.com is the second biggest of 2020, after the Beijing-Shanghai High Speed Railway raised $4.3bn in January, according to Bloomberg data.
Neha writes articles on sectors including medicine, food, materials, and science & technology. A qualified statistician, she has the ability to observe and analyze the trends in global markets and write compelling articles that help CXOs in decision making. She is a bookworm and loves to read fiction, lifestyle, science and technology. Neha comes with 6 years of experience in content writing and editing that involves blog writing, preparation of study materials and OERs.