"Dividend reduction" does not "break up", Tencent Jingdong's strategic cooperation "renewal" three years

Radar finance produce | Li Yihui edited | Deep Sea

After the market on June 29, JD.com issued an announcement on the Hong Kong Stock Exchange that the company renewed the three -year strategic cooperation agreement with the company. Tencent will continue to provide the company with outstanding primary and secondary access points on its WeChat platform to provide traffic support. The two parties also intend to continue to cooperate in multiple fields such as communication, technical services, marketing and advertising, and membership services.

Jingdong said that the value of such cooperation is expected to pay or spend in the form of cash and company shares in the next three years. As part of the total consideration, the company will issue a certain number of ordinary stocks A shares to Tencent with reference to the current market price of certain scheduled dates within three years, with a consideration of up to $ 220 million.

In addition, the two parties will use this mutually beneficial partnership to provide users with a better and more convenient shopping experience.

Earlier, Tencent's "dividend reduction" JD has attracted market attention. On the morning of December 23 last year, Tencent Holdings announced that about 457 million JD Group A ordinary shares held to shareholders in a dividend method. In this distribution, Tencent's shareholders of Jingdong shares will become JD shareholders.

After paying dividends, Tencent's shareholding on Jingdong will be reduced from 17%to 2.3%. Tencent President Liu Chiping will also step down as director of Jingdong.

Due to the advantages of Tencent in the social field and holding huge traffic, the market is worried that after the reduction of holdings, whether JD.com can continue to get WeChat traffic support, the news announced that the stock price of JD.com fell 11%on that day.

Now the successful renewal strategic cooperation agreement not only dilutes this concern, the share payment mechanism also gives Tencent the opportunity to "replenish" Jingdong again, although the amount may not be much; for JD.com, the share payment can save a lot of cash, and and the share payment. Tencent uses shares to divide the division of the same work.

Tencent and Jingdong's first "holding hands" dates back to eight years ago.

On March 10, 2014, Tencent announced its investment in JD.com and obtained the latter of 352 million ordinary shares, accounting for 15%of the ordinary shares before JD.com. In addition to paying US $ 214 million in cash to Jingdong, Tencent merged its QQ online shopping and photographed e -commerce and logistics departments into Jingdong.

As part of the cooperation, Tencent provides JD.com's first -level entrance location and support of other major platforms for WeChat and mobile QQ. The period of cooperation is 5 years. The two parties also committed the payment solution and cooperation priority.

In May 2019, after the five -year agreement expired, JD.com and Tencent renewed the second round of strategic cooperation agreements, and the agreement was changed to three years. According to the 2021 BOE Report, this part of the traffic support, advertising expenditure and other cooperation will exceed 800 million US dollars.

According to media reports, in this third round of cooperation, in addition to continuing previous traffic support, the two parties will also strengthen cooperation in technological innovation and supply chain services.

On the evening of May 17th, JD Group released the first quarterly report of the 2022 Report. The company's revenue in the season increased by 18%year -on -year to 239.7 billion yuan, slightly higher than market expectations; net loss was 3 billion yuan. 100 million yuan. The revenue growth rate in this quarter was the lowest since the listing of JD, below 20.75%below the first quarter of 2020.

Regarding the cause of losses, JD.com explained that it is mainly due to the continuous investment in infrastructure, technology research and development, and employee salary benefits, reducing the impact of epidemic conditions and allowing consumers to cause profits.

In addition, in February of this year, JD.com's Dadida Group held 52%, and Dada's revenue was paid in the first quarter. The stock price change acquired by Dada caused a confirmation loss of 3.6 billion yuan.

At present, JD.com is divided into four sections: JD Retail, JD Logistics, Dada and New Business. In the first quarter, the core business of Jingdong Retail increased by about 17%year -on -year to 217.524 billion yuan, slightly lower than the Group's overall growth rate.

Other sectors are still in a state of losses. The new business losses are the most serious. In the first quarter, the loss of business was 2.386 billion yuan. This part of its business included JD.com, Jingxi, overseas business and technological innovation.

Recently, JD.com also reported the news that the breakdown of the Jingxi business group, Jingxi's tailoring and withdrawal of the city showed that the community group purchase continued to shrink. At the same time, JD.com is said to enter the field of takeaway.

As of the close of Hong Kong stocks on June 29, Jingdong Group closed at HK $ 251.40 per share, a decline of 3.08%, with a total market value of about 785.2 billion Hong Kong dollars.

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