JD.com Shares Rise in Hong Kong After Plans to Spin off Two Units

By Yi Wei Wong

JD.com Inc.'s shares rose Friday, after the Chinese e-commerce giant said it plans to spin off two of its subsidiaries through listings on the Hong Kong stock exchange.

The company's Hong Kong-listed shares rose as much as 8.1% to 176.50 Hong Kong dollars ($22.48).

JD.com's American depositary receipts had advanced overnight on the news, closing 7.8% higher at $44.40 on Thursday, marking their largest gain since June.

In press releases late Thursday, JD.com said it would spin off its industrial and property units by listing them separately in Hong Kong.

Upon completion of the spinoffs, JD Industrials and JD Property would remain subsidiaries of the group, with JD.com holding a stake of over 50% in each unit, the company said.

The announcement came on the heels of Alibaba Group Holding Ltd. saying earlier in the week that it plans to restructure into six units that will be able to pursue independent fundraising and initial public offerings.

Write to Yi Wei Wong at yiwei.wong@wsj.com

(END) Dow Jones Newswires

March 30, 2023 22:33 ET (02:33 GMT)

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