Shanghai’s STAR Market Set to Welcome First Listing of a Fintech Unicorn in the form of JD Digits
Shanghai’s recently launched NASDAQ-style tech board is on track to see the first listing of a billion dollar fintech unicorn in the form of JD.com’s tech subsidiary.
On 1 July the China Securities Regulatory Commission (CSRC) announced that a slew of institutions including Guotai Jun’an (国泰君安), CITIC Securities (中信证券), Minmetals Securities (五矿证券) and Huajing Securities(华菁证券) had signed a listing guidance agreement with JD Digits (京东数字科技控股股份有限公司) on 28 June.
The agreement means that JD Digits has already entered the preparatory phase for listing on the STAR Market board of the Shanghai Stock Exchange (SSE), and is set to become the first fintech unicorn to join its ranks given a current valuation of 200 billion yuan (approx. USD$28.29 billion).
JD Digits (previously JD Finance) is the fintech vehicle of e-commerce giant JD.com, and focuses on the development and provision of data, artificial intelligence, IoT and blockchain technologies.
On 26 June JD.com announced that it had executed an agreement with JD Digits for a capital injection of 1.78 billion yuan, as well as the acquisition of 35.9% of equity in exchange for profit-sharing rights.
Following the transaction JD.com will hold 36.8% of equity in JD Digits.