JD Logistics to acquire Deppon Logistics

The acquisition is worth $1.4b.

JD Logistics, a consolidated subsidiary of e-commerce platform JD.com is seeking to acquire the Shanghai Stock Exchange-listed logistics company Deppon Logistics Co.

In a statement, JD.com said JD Logistics has entered into a series of agreements in line with the proposed acquisition wherein it will acquire around 99.99% of the equity interest of Ningbo Meishan Baoshui Area Deppon INvestment Holding Company Limited (Deppon Holdco), which holds 66.5% of the shared capital of Deppon, for around $1.4b (RMB9b).

Upon completion of the transactions, Deppon Holdco, including Deppon Logistics and its subsidiaries will become a subsidiary of JD Logistics.

JD Logistics will also make a mandatory general offer for all the issued, unrestricted, and tradable shares of Deppon Logistics excluding the issued and unrestricted shares by Deppon Holdco at $2.07 (RMB13.15).

“The transactions are subject to a staggered acquisition arrangement and certain customary closing conditions, including relevant regulatory approvals,” JD.com said.

$1 = RMB6.35