- 14 February 2018
- Transport / Logistics Services
JD.com has raised $2.5 billion with a number of banks and investors for the financing of its logistics arm, JD Logistics.
According to a statement from JD.com, the investors include Hillhouse Capital, Sequoia China, China Merchants Group, Tencent, China Life, China Development Bank Capital FOF, China Structural Reform Fund and ICBC International, among others.
When the funding round is complete, JD.com will remain the majority shareholder of JD Logistics, holding an 81.4% stake. The deal is set to close in Q1 of this year.
Richard Liu, Chairman and CEO of JD.com, said, “Our decision early on to build out our own logistics network has paved the way for JD Logistics to become the industry leader it is today. The shift throughout global e-commerce towards our model is vindication of the path we chose. This current funding round sets the stage for us to further invest in expanding our lead in the sector in areas like automation, drones and robotics. JD Logistics will continue to support both JD.com’s e-commerce business and the logistical needs for a wide range of industries for years to come.”
JD.com has been operating its self-owned logistics system since 2007, and established JD Logistics as a stand-alone subsidiary in April 2017. JD.com operates seven fulfilment centres and 405 warehouses covering 2,830 counties and districts across China, staffed by its own employees.