JD.com, Inc. (Nasdaq:JD), a Chinese online direct sales company, is to receive a RMB6.65 (approx. $1 billion) financing for its consumer finance subsidiary JD Finance.
Investors included Sequoia Capital China, China Harvest Investments and China Taiping Insurance.
The financing values JD Finance at RMB46.65 billion (approx. $7.1 billion) on a post-investment basis. Following the financing, JD.com will maintain majority ownership in JD Finance.
The transaction is expected to be completed in the first half of 2016, subject to customary closing conditions.
Led by Richard Liu, CEO, JD.com provides jd.com, an online direct sales website, and mobile applications. JD.com operates 7 fulfillment centers and a total of 196 warehouses in 46 cities, 4,760 delivery stations and pickup stations in 2,266 counties and districts across China.
Led by Shengqiang Chen, CEO, JD Finance leverages JD.com’s e-commerce expertise, big data and technology to provide financial solutions to Chinese consumers, innovative startups and traditional enterprises.