JD Health Could Raise $3 Bln in Hong Kong Listing


The healthcare unit of Chinese e-commerce operator JD.com Inc. has filed an application to list in Hong Kong, in a deal that people familiar with the situation said could raise at least $3 billion.
JD Health International Inc. plans to launch the initial public offering as soon as December, the people said. The IPO is being led by Bank of America Corp., Haitong International Securities Group Ltd. and UBS Group AG.
Investor appetite for healthcare and biotechnology companies is robust, thanks in part to the pandemic, while revamped listing rules in Hong Kong have allowed startups to list before they turn a profit.
JD Health’s peer, Ping An Healthcare and Technology Co., which operates the Good Doctor online health platform, listed in Hong Kong in 2018, while JD Health’s parent, JD.com, sold $4.5 billion worth of shares in Hong Kong in June.
JD Health launched in 2017. It is based in Beijing, and offers a range of online services, such as medical consultations and prescriptions, to Chinese consumers. It uses JD.com’s logistics network for drug deliveries nationwide.
Hong Kong has attracted share sales from a string of Chinese companies, including unlisted firms and companies already trading in the U.S., as frictions between the governments of the world’s two biggest economies have escalated.