Tuesday, 2023 October 3

CHINA BRIEF | Alibaba-backed courier firm Yunda injects USD 86 million into Deppon Express

Logistics company Yunda Holdings (SHE: 002120) has made an RMB 614 million (USD 86 million) strategic investment in courier firm Deppon Express (SHE:603056) and is to be the latter’s second-largest shareholder with a 6.5% stake, according to the duo’s announcements.

Deppon, one China’s top delivery companies, well known for its heavy parcel-delivery service, says the fund will be used for warehouse equipment upgrades and building its IT information system. Its stock has soared by 9.98% to RMB 13 (USD 1.82) per share as of time, following the announcement, while Yunda’s stock price has risen 2.06% to RMB 32.66 (USD 4.57).

Once the deal closes, Yunda will hold around 66.74 million shares at the price of RMB 9.2 (USD 1.29) per share of Deppon through its wholly-controlled subsidiary Ningbo-based Fushan Investment Limited Inc and delegate a non-independent director to claim shareholder’s rights.

Shanghai-based Yunda, which held a market share of around 15.79% in 2019 in China’s delivery industry, announced in April that e-commerce heavyweight Alibaba became a shareholder with a 2% stake, KrASIA wrote.

This article is part of KrASIA’s “China Brief” section, where KrASIA’s reporters will provide quick daily updates about the tech ecosystem in China.

Wency Chen
Wency Chen
Wency Chen is a reporter KrASIA based in Beijing, covering tech innovations in&beyond the Greater China Area. Previously, she studied at Columbia Journalism School and reported on art exhibits, New York public school systems, LGBTQ+ rights, and Asian immigrants. She is also an enthusiastic reader, a diehard fan of indie rock and spicy hot pot, as well as a to-be filmmaker (Let’s see).

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