Tencent and JD.com each take minority stakes in Chinese retail group Better Life
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Tencent Holdings and JD.com are buying minority stakes in Chinese retailer Better Life Commercial Chain Share.
A Tencent subsidiary is paying RMB886.9 million (US$140 million) for a 6 per cent shareholding, while a JD.com subsidiary is paying RMB739.1 million for a 5 per cent stake, according to a Better Life filing with the Shenzhen stock exchange.
Also known as Bubugao, Hunan-based Better Life announced a strategic collaboration agreement with Tencent at the beginning of this month, Reuters reports. The three companies and shareholders agreed to the transactions on February 14, according to the filing.
Questions & Answers
Q.What percentage of Better Life is Tencent acquiring and for what price?
What percentage of Better Life is Tencent acquiring and for what price?
A Tencent subsidiary is purchasing a 6 per cent shareholding in Better Life. This acquisition is costing RMB886.9 million, which equates to US$140 million.
Q.What is the value and percentage of JD.com's investment in Better Life?
What is the value and percentage of JD.com's investment in Better Life?
JD.com's subsidiary is acquiring a 5 per cent stake in Better Life Commercial Chain Share. This investment is valued at RMB739.1 million.
Q.When were these transactions agreed upon by the companies and shareholders?
When were these transactions agreed upon by the companies and shareholders?
The three companies involved, Tencent, JD.com, and Better Life, along with their shareholders, reached an agreement on these specific transactions on February 14.