Walmart has sold its entire 10% stake in the Chinese e-commerce giant JD.com, netting an estimated $3.6-$3.74 billion. The sale, facilitated by Morgan Stanley, involved 144.5 million American depositary shares priced between $24.85 and $25.85 each. This divestment comes as JD.com struggles with modest revenue growth of 1.2% in Q2 2024 and a 70% drop in share value from its peak in 2021. The JD.com shares’ recent decline by nearly 12% triggered a broader selloff in Chinese tech stocks. Walmart aims to allocate capital to other priorities while maintaining its commercial relationship with JD.com. In turn, JD.com has expressed confidence in future collaborations despite this divestiture.
Retail, E-commerce, Investment Banking, Technology,China, United States
https://aimgroup.com/2024/08/21/walmart-sells-stake-in-jd-com-for-estimated-3-7-billion/