Alibaba-Backed E-commerce Platform Huitongda Network Eyes $1B Hong Kong IPO: Bloomberg

Alibaba Group Holding Ltd BABA-backed Chinese e-commerce platform, Huitongda Network Co, is seeking to raise almost $1 billion from a Hong Kong initial public offering (IPO) by as early as the second half of 2021 to tap the pandemic induced e-commerce boom, Bloomberg reports.
Huitongda vests rural retailers with supply chain and digital technology.
Around 36% of China’s 1.4 billion population reside in rural areas.
Alibaba has been vocal about lower-tier area expansion to lift small merchants and drive rural consumption.
Alibaba had invested $701 million (4.5 billion yuan) in Huitongda in 2018.
Alibaba and JD.com Inc JD have struggled to expand to the rural areas of China.
Price action: BABA shares closed higher by 1.27% at $213.72 on Tuesday.