JD.com is set to repurchase $2 billion of its own shares over the next two years in an attempt to offset a wider coronavirus sell-off.
The Chinese ecommerce giant announced its largest share buy-back to date yesterday, which will see it recoup its shares via open market purchases, privately negotiated transactions and block trades over the next 24 months.
It said that it would use its existing cash balance, which stands at around $9 billion, to make the purchase.
While many have sought to sell off shares in Chinese firms like JD.com amid the coronavirus outbreak, it has faired relatively well seeing its shares drop just 11 per cent since the start of the outbreak.
This comes after it hired Bank of America and UBS to handle a second listing on the Hong Kong Stock Exchange, following directly in the footsteps of its larger rival Alibaba which completed 2019’s largest secondary listing.
Earlier this month JD.com saw stocks jump more than 12 per cent as brushed off coronavirus fears and posted better than expected fourth quarter results.
The Chinese commerce giant saw revenues grow 26.6 per cent to £19.17 billion, coming well above estimates of £18.7 billion.