Chinese e-commerce giant to acquire stake in Deppon Logistics for $1.4 Billion

JD Logistics will acquire a 66.50% stake in Deppon Logistics from Deppon Holdco. Inc is set to acquire a majority stake in Shanghai-listed Deppon Logistics Co. for 9 billion yuan ($1.42 billion) as a segment of steps by the e-commerce company to increase its shipment and warehousing system.

JD Logistics will actually acquire a 66.50% stake in Deppon Logistics from Deppon Holdco, after which a mandatory offer for the persisting shares will be brought at CNY13.15 a share, announced on Sunday.


“The deal is accountable to a staggering accession arrangement and particular customary closing situations, comprising of related regulatory permissions,” the company announced.

Deppon’s stakes increased 10.03% to CNY13.93 on news of the stake purchase, while’s stock was plunged by 10.1% at HK$189.80. Some analysts announce the deal will enhance JD’s capabilities, due to Deppon’s extensive network and infrastructure.

“We are optimistic on the agreement and see clear synergies and adequate capability for efficiency development for Deppon including optimization of labour, structure and technology with assistance from JDLn (JD Logistics),” Citi announced in a note.

Deppon Logistics is a trucking and warehousing firm in China. As of the first half of 2021, it had 140 warehouses and 143 sorting centres and hired 63,700 delivery staff.