Online Supermarket Joint Venture Dada-JD Daojia Considering $500 Million US IPO in May 2020

Executive Summary

Chinese online grocer Dada-JD Daojia is reportedly in talks with bankers to raise around $500 million in a US IPO in May 2020, according to an article published by The Information.

• The talks are in early stages, and the venture has not made a decision on the amount it intends to raise or whether to list on the NASDAQ or the New York Stock Exchange, according to the article.
• Dada-JD Daojia was created in 2016 through the merger of JD.com’s supermarket business and crowdsourcing delivery service Dada Nexus, with a 10% stake owned by Walmart.
• The venture provides a one-hour professional delivery service for more than 74 million users, working with more than 5,000 retailers including Walmart, Carrefour, Vanguard, Yonghui supermarket and Watsons.