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Tag Archives: JD.com
Jingdong (jd.com) latest Business & Financial news from Doug Young, the Expert on Chinese High Tech Market, (former Journalist and Chief editor at Reuters)
Bottom line: CGN’s shares are likely to rise 10-15 percent on their first trading day next week, while JD.com’s shares could rally over the next few days before resuming a longer downward trend towards their IPO price.
JD raises $620 mln in secondary offering
Just when the year-end rush of new share offerings appeared to be losing momentum with weak demand for property developer Dalian Wanda, the market is getting a lift with a stronger reception for 2 other share sales. The first of those has seen nuclear power plant builder CGN Power price shares for its IPO at the top of their range, making it the largest new Hong Kong listing in 2 years. The second deal saw strong demand for a secondary offering by e-commerce giant JD.com (Nasdaq: JD), helping it to raise another $619 million following its IPO back in May. Read Full Post…
The following press releases and media reports about Chinese companies were carried on December 4. To view a full article or story, click on the link next to the headline.
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China’s CGN Power Prices Hong Kong IPO At Top Of Range, Raises $3.2 Bln (English article)
JD.com (Nasdaq: JD) Announces Pricing Of Secondary Offering Of Its ADSs (PRNewswire)
Meat Supplier OSI Says Six China Workers Arrested (English article)
ICBC (HKEx: 1398) Markets Record Offshore Yuan Bond Sale Amid Currency Push (English article)
China Mobile (HKEx: 941) Selling 617 4G Devices 1 Year After Launch Of TD-LTE (Chinese article)
Bottom line: After a slow start, China’s VNO program is picking up momentum, with new operators poised to sign up a collective 50 million in total subscribers as soon as the middle of next year.
VNOs gain momentum
After a decidedly slow start in their first half year of life, China’s young crop of virtual network operators (VNOs) are starting to show some new signs of momentum, including a boost with the new awards of licenses to leading online video site Youku Tudou (NYSE: YOKU) and fast-rising smartphone maker Xiaomi. The VNO program is part of Beijing’s efforts to breathe new life into the telecoms services sector by opening it up to new private operators that can compete with the big 3 state-run telcos. But the program has been plagued with glitches since the first new services launched in the spring, with the result that progress has been slower than expected. Read Full Post…
The following press releases and media reports about Chinese companies were carried on November 25. To view a full article or story, click on the link next to the headline.
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Carrefour (Paris: CA) Launches Convenience Store Brand In China (Chinese article)
JD.com (Nasdaq: JD) To Invest 2 Bln Yuan In Dongguan Operations Center (English article)
China Buying REC Solar (Norway: RECSOL) For $640 Mln Avoids Trade Spat (English article)
Bottom Line: Despite strong competition, e-commerce giant Amazon stands a chance of success in China by leveraging its unique strength supported by its global logistic system and trusted brand.
By Lu Jin
Amazon launches imported goods store for China
Even as numerous buyers and sellers in China created another record online shopping spree in the virtual malls of Alibaba (NYSE: BABA) on Double Eleven day last week, global e-commerce giant Amazon (Nasdaq: AMZN) also did something new: It launched its Chinese language online store offering imported goods, called “shop overseas”.
Voices were heard in the market in no time: “Here comes the wolf!”
Just how bad is this “wolf”, or is the wolf really even coming? Read Full Post…
Chatter in the microblogging realm this past week was squarely focused on the Double Eleven shopping binge that saw e-commerce sites and smartphone makers log impressive sales on the date also known as Singles Day. But not everyone was boasting about huge sales, as executives from early e-commerce leader Dangdang (NYSE: DANG) and smartphone aspirant Smartisan were both uncharacteristically quiet on their microblogs, hinting at mediocre results on the shopping holiday.
The situation was just the opposite at e-commerce leader Alibaba (NYSE: BABA), which single-handedly commercialized a day that now generates more sales than even Black Friday or Cyber Monday in the US. That rapid success in such a short time was putting a strain on Alibaba’s Alipay electronic payments arm, which reportedly was restricted to processing payments from Alibaba’s own e-commerce sites. That meant other companies’ sites often couldn’t accept Alipay for payments on their sites during the day.
Bottom line: JD’s quarterly results look typical for recently listed Chinese Internet firms, showing fast-growing revenues and soaring costs, which will pressure company stocks in 2015 as short-term investors leave the space.
Marketing costs soar at JD.com
Reality is finally coming to Wall Street, as investors dumped shares of e-commerce giant JD.com (Nasdaq: JD) after it reported earnings that looked strong but not quite good enough to justify the company’s meteoric valuation. The bigger question now is whether the 7 percent drop in JD’s shares marks the beginning of a much-needed correction in their price. Regular readers will know that my answer to that question is a definitive “yes”, and that the coming correction won’t just be limited to JD but will also hit leading e-commerce firm Alibaba (NYSE: BABA) and many other recently listed Chinese Internet stocks. Read Full Post…
Bottom line: The Commerce Ministry should mediate an industrywide settlement over Alibaba’s claims to the Double Eleven Trademark to prevent the dispute from disrupting the nation’s e-commerce development.
Regulator should mediate Double Eleven dispute
As the buying frenzy builds to a crescendo on this year’s November 11 Singles Day, e-commerce giant Alibaba (NYSE: BABA) should be commended for turning an ordinary day of the year into a shoppers paradise that now generates more sales than any other major retailing day in the world. (company announcement)
But this year’s binge-buying day has also seen some controversy, as Alibaba’s flagship Tmall shopping site reportedly made behind-the-scenes threats to some media warning them not to run advertisements featuring the Double Eleven moniker. Tmall reportedly said such ads violated its trademarks, and indeed Alibaba has registered several trademarks related to the “Double Eleven” name that is a Chinese shorthand for the eleventh day of the eleventh month each year. (previous post) Read Full Post…
Bottom line: Mobile SNS firm Momo is likely to raise far less than the $300 million it has targeted for its IPO, as it kicks of a mini-surge of loss-making Chinese tech firms racing to list in New York by year end.
Momo kicks off year-end IPO rush
A record year of fund raising for Chinese firms on Wall Street could still have some life left, with word of another major offering plan by Momo, operator of mobile-based social networking (SNS) service. The company’s plan to raise up to $300 million would have looked ambitious at this time last year, when New York IPOs by Chinese firms were just starting to gain momentum after a nearly 3 year deep freeze. But that kind of target has become the norm in the current climate, and I expect we could see a flurry of similar-sized offerings over the next 5 or 6 weeks before the final curtain comes down on a banner year for Chinese tech IPOs in 2014. Read Full Post…
Global gadget leader Apple (Nasdaq: AAPL) and its chief Chinese imitator Xiaomi have been filling the online airwaves these last few days, though for very different reasons. Apple’s CEO Tim Cook was drawing praise and admiration from a wide range of tech executives on their microblogs, following his widely publicized editorial in which he disclosed that he is gay.
Meantime, a number of top officials from the talkative Xiaomi were also talking up a storm, which verged on gloating, as their company once again poached another high-profile Silicon Valley talent. They also had plenty to say as their high-flying company claimed the undisputed spot as the world’s third largest smartphone maker, behind only sector leaders Samsung (Seoul: 005930) and Apple. Read Full Post…
I’m not a big fan of “events” like the upcoming November 11 Singles’ Day, which are often created by companies in an attempt to boost sales. But in this case the latest reports on the upcoming date are providing a bit of controversy and entertainment, with word that e-commerce leader Alibaba (NYSE: BABA) is taking steps to protect trademark rights to a shopping event that it single-handedly created. In this case, media are reporting that Alibaba is saying that it owns the rights to the “Double Eleven” trademark, and is telling media to reject related advertisements from rivals like JD.com (Nasdaq: JD). Read Full Post…
