The ecommerce giant and competitor JD.com announced that it has raised $2.5 billion by selling a stake in the logistics business that it owns and shall use the amount to invest in robotics and drones technology.
JD.com said in a statement on Wednesday that it had signed agreements with the investors like Sequoia China, Hillhouse Captial and Tencent.
The ecommerce company shall remain a majority stockholder in its logistics arm JD Logistics with an 81.4% stake. It said that it hopes the deal to be completed within this quarter.
Richard Liu, CEO of JD.com said on Wednesday in a statement that this current funding amount has given us a platform to further invest in the industry as a leader in areas like robotics, drones and automation.
He also said that JD logistics will keep on supporting both businesses of ecommerce along with the logistical need for a large range of industries expected in the future.
JD.com happens to be one of the biggest online retailers in China and is Alibaba’s rival. The company also said this if this deal shall allow the JD.com to invest more in technologies that are playing an integral role in the ecommerce industry.
An online home decoration service provider in China SSLJ.com Ltd also announced today that it had entered into a n agreement with the one of the biggest online retailer in China JD.com via subsidiary of JD Beijing JD Century Trading Co. Ltd.
As per the agreement the home decorating service is hoping to get a platform for its products through JD.com and cooperate with JD in the Smart Homes sector of the online business. Furthermore, SSLJ also announced that will be investing in JD’s platform for advertising and as a result JD would provide SSLJ with the resources to match target customers for SSLJ.
In the past year both ecommerce rivals Alibaba and JD.com have made numerous announcement directed at expansion of their business in the form of retail space. Both of them have strongly spoken about the benefits of offering retail services to its customers that help in merging both online and offline environments.