Reports: JD.com logistics arm readies for Hong Kong IPO this month

The company is targeting a valuation of US$40 billion as it looks to start trading in the second quarter of 2021. JD’s stock saw a 5.5% increase to HK$372.40 following the reports’ release.

It was previously reported that JD Logistics’ financial debut could net it between US$2 billion and US$3 billion. Banks have already pitched to the company’s executives late last year as part of the selection process, sources shared.

JD is known to be close to UBS, Bank of America, and Haitong Securities, but there are no official mandates yet, the sources added.

The development comes after JD’s healthcare unit JD Health completed a HK$31 billion (US$3.9 billion) IPO in December last year. Additionally, the company’s fintech arm JD Digits is also looking to go public through a separate listing as it has filed an application to list on Shanghai’s tech-focused STAR Market.

Currency converted from HK dollar to US dollar: US$1 = HK$7.75.