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JD.com Stocks See Jump of Almost 6% in HKSE Debut

Published 06/18/2020, 12:51 AM
Updated 06/18/2020, 12:54 AM
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By Gina Lee

Investing.com – Chinese e-commerce giant JD (NASDAQ:JD).com (HK:9618) was the latest HKSE entrant to receive a warm welcome to the HKSE.

JD shares jumped 5.8% on their first day of trading, opening at HK$239 ($30.8375) each. The shares, priced at HK$226 each earlier in the week, raised $3.9 billion for the company in the Hong Kong share sale.

The debut concludes a successful outing for JD.com, the latest major Chinese firm to seek a secondary listing in Hong Kong after the U.S. tightened scrutiny on foreign firms listed in the U.S. which could lead to some de-listings. JD listed on the Nasdaq board in 2014.

Other Chinese companies who have also completed secondary listings in Hong Kong include JD rival Alibaba (NYSE:BABA) in 2019, and internet giant NetEase (NASDAQ:NTES) the week before. NetEase saw its shares soar up to 10% in its debut.

The company said in a statement that it will use the funds to “invest in key supply chain based technology initiatives to further enhance customer experience while improving operating efficiency...the supply chain-based technologies can be applied to the Company’s key business operations including retail, logistics, and customer engagement.”

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