JD.com Announces $5 Billion Buyback, Stock Jumps 3-5%, 12% of Market Cap

Aug 27, 2024, 11:26 AM

JD.com, a leading Chinese e-commerce company, has announced a significant share buyback program valued at $5 billion, representing 12% of its market cap. This initiative, approved by the company's Board, is set to commence in September 2024 and will run through August 2027. The buyback plan aims to repurchase shares, including American Depositary Shares (ADS), and is seen as a strategic move to reward shareholders and boost investor confidence following a decline in the company's stock over the past three years. The repurchases will occur based on market conditions. The announcement has positively impacted JD.com's stock, which saw an increase of approximately 3% to 5% following the news, with significant activity noted post HK close.