JD.Com's Business Units Prepares For Separate Hong Kong IPOs Days After Alibaba's Similar Move

JD.Com, Inc's JD two subsidiaries filed for Hong Kong's initial public offerings on Thursday.
Jingdong Property Inc and Jingdong Industrials Inc submitted listing applications to the Hong Kong Stock Exchange.
JD.com would hold more than 50% of both companies after the completion of the spinoffs.
Also Read: Are US Sanctions On China Working? China Tech ETFs Paint A Picture
Jingdong Property's business now covers 29 Chinese provincial-level regions. It also has 25 overseas infrastructure-related projects and manages industrial parks totaling 20 million square meters.
Jingdong Industrials specializes in industrial product supply and related technology and services.
In 2022, the company provided services to over 100,000 industrial manufacturing plants in automobile, mechanical equipment, electronic product assembly, and others. It also supported over 16,000 construction projects during the same period.
JD.com's move comes days after rival Alibaba Group Holding Ltd BABA shared plans to split into six independent businesses, each of which can pursue funding and separate listings.
Interestingly, both companies opted for a domestic listing instead of a U.S. IPO.
Increasing scrutiny of Chinese businesses in the U.S. and Beijing's concern about data security for U.S.-listed companies have pushed a market decoupling between the two biggest economies.
Still, debuts by Chinese firms have slumped in Hong Kong and overseas since 2021 following China's sweeping crackdown on the domestic tech sector.
Price Action: JD shares traded higher by 9.47% at $45.08 on the last check Thursday.
Photo via Wikimedia Commons

Market News and Data brought to you by Benzinga APIs

Comments

Popular Channels

Tools & Features

Partners & Contributors

About Benzinga