JD.Com, Inc (NASDAQ:JD) plans to establish an autonomous division by integrating its 7Fresh supermarket chain with various online services.
The Chinese e-commerce firm reportedly focuses on an “Innovative Retail” initiative that brings together the 7Fresh supermarkets, the group-buying platform Pinpin, and on-demand services, Bloomberg cites familiar sources.
Starting Monday, Yan Xiaobing, former chief of JD.com’s international business will helm the new unit and report directly to group CEO Sandy Xu.
JD.com announced last week its intention to create seven listed firms, each with a market value of at least $14 billion, setting ambitious goals for the next two decades.
The new division will resemble Alibaba Group Holding Ltd’s (NYSE:BABA) Freshippo unit, dubbed Hema, with plans to raise funds and potentially list separately.
Preparations for the unit’s initial public offering are underway with assistance from banks, including China International Capital Corp and Morgan Stanley (NYSE:MS).
In 2023, Alibaba announced an unprecedented six-way split of its business to satisfy investors and the government. Also, in 2023, JD’s subsidiaries Jingdong Property Inc and Jingdong Industrials Inc filed for listing on the Hong Kong Stock Exchange.
Price Action: JD shares traded lower by 0.03% at $34.85 premarket on the last check Monday.
Photo via Wikimedia Commons
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