The Prospectus Of Jingdong Digital Technology Co., Ltd. Disclosed: It Plans To Raise 20.367 Billion Yuan

Recently, the total amount of shares raised in the prospectus of jd.com is no less than RMB 2.035 billion, which is no less than the number of shares to be issued on the Kechuang board.

The over allotment option (commonly known as the green shoe mechanism) will be introduced into the issue of Jingdong Digital Technology Co., Ltd., with Guotai Junan and Minmetals securities as the co sponsor and lead underwriter of the issue.

This means that once listed successfully, JD digital will become the "first digital technology stock" of A-share sci-tech innovation board.

It is understood that the net amount of funds raised by Jingdong digital technology after deducting the issuing expenses will be invested in the digital solution upgrading construction project of financial institutions, the digital solution upgrading construction project of merchants and enterprises, the digital solution upgrading construction project of emerging industries, the upgrading construction project of open platform, the expansion project of digital science and technology center and the supplementary capital 。 Among them, 72% of the raised funds will be directly used for projects related to technology and digital service upgrading.

According to the prospectus, Liu qiangdong directly held 8.86% of the total share capital of Jingdong Digital Technology Co., Ltd., and indirectly controlled 41.49% of the total share capital of the issuer before the issuance through pilot Fangyuan, Suqian polymerization and Boda Heneng, accounting for 50.35% of the total share capital before the issuance, and 74.77% of the total voting rights of the issuer through special voting rights arrangement.

After the issuance, Liu qiangdong directly held 7.97% of the total share capital, and the proportion of voting rights was 42.61%. Liu qiangdong indirectly controlled 45.3% of the total share capital before the issuance and 70.77% of the total voting rights through pilot Fangyuan, Suqian polymerization and Boda Heneng.

According to the prospectus, JD digital is positioned as a new digital technology company providing technical services to institutional customers (tob). The company's main business is divided into three sections: digital solutions for financial institutions, digital solutions for merchants and enterprises, and digital solutions for government and other customers, realizing the full coverage of TOF, tob and tog.

As of June 2020, the revenue of the above three businesses accounted for 41.48%, 52.37% and 5.57% respectively. Among them, the compound annual growth rate of digital solutions revenue of financial institutions is 100.51%, and that of government and other customers' digital solutions is 239.05%. Innovative business is becoming the key factor driving the rapid growth of JD digital.

Up to now, JD digital has served 600 financial institutions such as banks, insurance, funds, trusts and securities, more than 1 million small and micro businesses, more than 200000 small and medium-sized enterprises, more than 700 large-scale commercial centers and more than 40 urban public service institutions. Its marketing network covers more than 300 cities and more than 600 million person times.

At the performance level, the prospectus shows that from 2017 to the end of 2019, the overall operating revenue of Jingdong Digital Technology Co., Ltd. was 9.070 billion yuan, 13.616 billion yuan and 18.203 billion yuan respectively; the net profit attributable to the shareholders of the parent company was profitable from 2018, reaching 130 million yuan and 790 million yuan in 2018 and 2019, respectively, making profits for two consecutive years.

From 2017 to June 2020, the gross profit margin of the company in each reporting period was 54.69%, 64.38%, 65.77% and 67.08%, showing a steady upward trend.

According to the data, Jingdong Digital Division was independently operated in 2013. At the initial stage of its establishment, it mainly provided inclusive financial services for businesses and consumers based on the e-commerce platform of Jingdong group. In November 2018, Jingdong Finance officially changed its name to "Jingdong digital branch" and incorporated new digital economy businesses such as intelligent city, digital marketing and AI robot.