Shares in JD.com tanked in Hong Kong on Wednesday after American retail titan Walmart signalled its intention to dispose of its stake in the Chinese ecommerce giant worth $3.7bn.
Wal-Mart Stores Inc.
21 August 2024 08:18:49
Source: Sharecast
According to a term sheet cited by Reuters, Walmart is offering 144.5m American depositary shares priced at $24.85-$25.85, seeking to raise up to $3.74bn.
Walmart is currently the largest single shareholder in JD.com with a 10.4% take, after exchanging its Chinese ecommerce arm Yihaodian for shares in 2016.
It is thought that the move will allow Walmart to focus on its other Chinese operations through Walmart China and Sam's Club, as well as raise capital for other areas of the business.
Shares in JD.com were down nearly 9% at $102.60 by 1457 in Hong Kong.
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