JD Logistics Is Rumored To Be Listed At Approximately US $40 Billion In 2021
JD.com has now begun to prepare for the IPO of JD Logistics next year. The transaction valued JD’s listing business at approximately US$40 billion. It is reported that JD.com has begun negotiations with potential consultants. The transaction may involve the sale of 10%-20% of JD Logistics at a price of US$4 billion to US$8 billion. JD’s consideration is to list in Hong Kong or the United States.
According to reports, JD Logistics’ last round of financing was in February 2018, with a financing amount of US$2.5 billion. Investors included Hillhouse Capital, Sequoia China, China Merchants Group, Tencent, and China Life. After this round of financing, Jingdong Logistics is valued at approximately US$13.5 billion, and Jingdong Group holds 81.4% of Jingdong Logistics.
Jingdong’s third-quarter financial report showed that the quarterly revenue of Jingdong’s logistics business and other services was 10.4 billion yuan, a year-on-year increase of 73%. As of September 30, 2020, JD Logistics has operated more than 800 warehouses, including the cloud warehouse area managed by JD Logistics, with a total storage area of approximately 20 million square meters.
At present, the warehousing resources of Cainiao, a competitor of JD Logistics, cover 21 provinces and 72 cities across the country, with a total area of 6.19 million square meters, more than most express companies.
In January this year, Jingdong Logistics CEO Wang Zhenhui revealed that the external revenue of Jingdong Logistics accounted for more than 40% in 2019, which exceeded expectations and achieved revenue and profit targets. According to Latepost reports, JD Logistics has two clear goals after its formal independence in 2017: First, JD Logistics’ revenue will exceed 100 billion yuan by 2022, and first, external revenue will account for more than 50%.
During this year’s Double Eleven, the volume of JD Logistics’ open business orders increased by 102% year-on-year, and businesses such as personal express delivery, JD Cloud Warehouse, and JD Cold Chain all grew by more than 100%.
In addition, JD Health, which is in the process of listing, has submitted a post-hearing data set to the Hong Kong Stock Exchange for the proposed spin-off, with a target valuation of US$29 billion. On September 12 this year, the Shanghai Stock Exchange accepted JD Digital’s listing application. , But after the suspension of Ant’s listing, JD Digital has not yet passed any information to the outside world.
