JD.com, Inc. (JD), a leading technology and service provider, has announced the upsizing and pricing of its offering of convertible senior notes totaling US$1.75 billion, set to mature in 2029. The offering, which took place on May 21, 2024, also includes an option for initial purchasers to acquire an additional US$250 million in notes within a 30-day period. The proceeds from the offering are earmarked for a concurrent repurchase of shares, expansion of overseas business, supply chain improvements, and working capital needs. The notes, bearing a 0.25% interest rate, are senior, unsecured obligations with semiannual interest payments starting December 1, 2024. They can be converted into cash, American depositary shares (ADSs), or a combination thereof, at JD.com's discretion. The initial conversion rate is...Show More

JD.com, Inc. (JD), a leading technology and service provider, has announced the upsizing and pricing of its offering of convertible senior notes totaling US$1.75 billion, set to mature in 2029. The offering, which took place on May 21, 2024, also includes an option for initial purchasers to acquire an additional US$250 million in notes within a 30-day period. The proceeds from the offering are earmarked for a concurrent repurchase of shares, expansion of overseas business, supply chain improvements, and working capital needs. The notes, bearing a 0.25% interest rate, are senior, unsecured obligations with semiannual interest payments starting December 1, 2024. They can be converted into cash, American depositary shares (ADSs), or a combination thereof, at JD.com's discretion. The initial conversion rate is set at a premium of approximately 35.00% above the ADS reference price. JD.com also plans to repurchase approximately 14 million ADSs concurrently with the notes pricing, as part of its share repurchase program announced in March 2024. The repurchase activities are expected to offset potential dilution from the conversion of the notes. The offering is expected to close on May 23, 2024, subject to customary closing conditions. The securities involved have not been registered under the Securities Act and are being offered to qualified institutional buyers and non-U.S. persons in offshore transactions.