China: Major Online Retailer JD Raises Over $200 Million to Invest in Logistics Tech
The logistics department of one of the two largest Chinese e-commerce companies, JD.com, has raised a fund of 1.5 billion yuan ($218 million) to invest in logistics companies and tech.
According to a Reuters report on June 24, JD has revealed that the new fund’s partners will include several listed companies and government-led funds. The company has declined a request to provide specific names.
JD launched its standalone logistics department in 2017. The company’s reported aim was to provide itself with an edge against e-commerce competitors like the Chinese Alibaba, which uses third-party delivery services.
As of press time, JD.com is one of the two largest online retailers in China, the other being Alibaba. The market cap of the former is at $42.25 billion, while that of the latter is at $436.23 billion.