Davis Polk is advising Tencent Holdings Ltd. in connection with its strategic business partnership with JD.com. Tencent is subscribing to new shares representing an approximately 15% stake in JD and will also subscribe to an additional 5% at IPO price after JD completes an IPO. JD will acquire 100% interests in Tencent’s online marketplace businesses, including QQ Wanggou B2C and PaiPai C2C, its logistics personnel and assets, and will also acquire a minority stake in Yixun, with a right to acquire the remaining stake of Yixun in the future. In connection with the strategic partnership, Tencent will support the growth of JD across its eCommerce businesses and activities. Both parties will also cooperate on online payment services to improve users’ online shopping experience.

Founded in 1998, Tencent is one of China’s largest and most widely used Internet service portals. JD is a leading online direct sales company in China.

The Davis Polk corporate team is led by partner Kirtee Kapoor and also includes partners Paul Chow and Miranda So, associates Christine Xu and Vanessa Chan, and registered foreign lawyers Abhishek Kolay and Steven Sha. Members of the Davis Polk team are based in the Hong Kong and Beijing offices.