Walmart seeks to raise up to $3.74 billion in sale of JD.com stake, Bloomberg News reports
8:20 pm Tuesday, August 20th, 2024
(Reuters) -U.S. retailer Walmart is seeking to raise up to $3.74 billion by selling its stake in Chinese e-commerce firm JD.com, Bloomberg News reported on Tuesday, citing people familiar with the matter.
Walmart is offering 144.5 million shares in the price range of $24.85 to $25.85, the report said, adding that Morgan Stanley is the broker-dealer of the offering.
U.S.-listed shares in JD.com dropped 10% in after-market trading on Tuesday to $25.50.
Walmart, JD.com and Morgan Stanley did not immediately respond to Reuters’ requests for comment.
Walmart is the largest shareholder of JD.com and owns a 5.19% stake in the e-commerce company, according to LSEG data.
The partnership between the two companies began in 2016, when Walmart sold its Chinese online grocery store, Yihaodian, in return for a 5% stake in JD.com.
(Reporting by Chandni Shah in Bengaluru; Editing by Shailesh Kuber, Shilpi Majumdar and Jamie Freed)
