Walmart is seeking to sell up to $3.74 billion of shares in JD.com

(Bloomberg) — Walmart Inc. is seeking to raise up to $3.74 billion through its stake in Chinese e-commerce company JD.com Inc. to sell, people familiar with the matter said.

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The U.S. retailer is offering 144.5 million shares in a price range of $24.85 to $25.85, the people said, asking not to be identified because the information is private. Morgan Stanley is the broker-dealer of the offering, she added.

Representatives for Walmart, JD.com and Morgan Stanley did not immediately respond to requests for comment.

JD.com shares closed at $28.19 each on Tuesday, falling 10% in aftermarket trading. According to Bloomberg calculations, Walmart shares are being offered at a discount of as much as 11.8% through Tuesday’s close.

According to data from Bloomberg, Walmart is the largest shareholder. The share sale would mark the end of a partnership between the two companies that began when Walmart acquired a 5% stake in the Chinese company in 2016 in a deal that also saw JD.com acquire Walmart’s Yihaodian online marketplace, which focused on selling groceries. to higher-end female shoppers in major Chinese cities, the companies said at the time. Later that year, Walmart increased its stake in JD.com to 10.8%.

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