AAA JD.com directs almost $1.8bn from IPO

JD.com directs almost $1.8bn from IPO

JD.com, the China-based e-commerce company backed by internet company Tencent and DST Global among others, has gone public in an initial public offering sized at $1.78bn.

The company issued just over 69 million American Depositary Shares, worth two ordinary shares, priced at $19.00 each, while existing shareholders sold a further 24.7 million. The offering price was higher than the initial range of $16-18 per ADS.

DST Global, the investment firm partially acked by internet company Mail.ru, sold almost 6.8 million shares from a starting point of more than 225 million, generating a $64.3m return. Tencent, through its Huang River Investment subsidiary, acquired 351 million shares in JD.com in March, representing a 15% stake, and retained all its shares in the offering.

Other selling shareholders include investment firm Tiger Global Management, which made a return of almost $127m.

The underwriters for the offering have the option to purchase a further 14 million shares from JD.com, which would increase the total size of the IPO to about $2.05bn.

JD.com’s shares have remained stable since it floated on Thursday, opening at $21.97 and currently standing at $20.10.

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