Alibaba Clear Warehouse Baozun E-commerce.
On May 30th, Baozun E-commerce Co., Ltd. (Baozun E-commerce, 09991. HK), According to a statement by Nasdaq: BZUN, the board of directors has been informed that on May 30, 2024, our major shareholder Alibaba (NYSE: BABA, 09988. HK) entered into a purchase and sale agreement with ChampionKerry Inc. Accordingly, Alibaba agreed to sell and ChampionKerry Inc. agreed to purchase 26.469 million Class A common shares of our company, accounting for approximately 14.4% of the total issued shares of our company as of March 31, 2024.
Following the transfer of shares, Alibaba will no longer be a shareholder of Baozun E-commerce Company, ChampionKerry Inc. will become the major shareholder of Baozun E-commerce. The announcement states that Baozun E-commerce and Alibaba will maintain a mutually beneficial business relationship, including continuing strategic cooperation.
Baozun E-commerce has not disclosed the transaction price for this equity transfer. If calculated based on Baozun E-commerce's closing price of HKD 7.010 yesterday, the equity value cleared by Alibaba is approximately HKD 186 million.
Baozun E-commerce has informed Pengpai News that the company is concerned about the transactions between the two investors and the corresponding adjustment of board seats, and understands that Alibaba is a normal trading behavior after its investment strategy adjustment. New investors also have a long-term recognition of Baozun's value positioning. This transaction does not affect our daily business cooperation and strategic coordination with various e-commerce platforms. "For other details of equity conversion transactions, please refer to the investor's announcement, and the company will not comment."
Compared to the 2023 annual report and the latest list of directors of Baozun E-commerce, Liu Yang was missing from the board seat of Baozun. According to the 2023 annual report of Baozun E-commerce, Liu Yang became a member of the Baozun E-commerce Board of Directors in July 2021. She joined Alibaba Group in 2014 and currently serves as the General Manager of the Tmall Business Development Center of Alibaba Taobao and Tmall Group. Before joining Alibaba Group, Liu Yang worked at IBM.
It is reported that Baozun E-commerce was founded in 2007 as a third-party service industry, mainly providing IT solutions, online store operations, marketing, customer service, and warehousing and distribution e-commerce services for brands. In 2010, Alibaba participated in the A-round financing of Baozun E-commerce and subsequently became the largest external shareholder of Baozun. Baozun E-commerce was listed on NASDAQ on May 21, 2015, and then on the Hong Kong Stock Exchange in 2020.
Baozun E-commerce upgraded its three major business lines in 2023, namely Baozun E-commerce, Baozun Brand Management, and Baozun International. In the same year, it officially took over GAP China's business and established a strategic partnership with American brand management company Authentic Brands Group to acquire 51% of the intellectual property rights of the British original high-end footwear and outdoor clothing brand Hunter in Greater China and Southeast Asia.
On May 28th, Baozun E-commerce released its unaudited financial results for the first quarter ending March 31, 2024. The financial report showed that Baozun E-commerce's total net revenue was 1.98 billion yuan, a year-on-year increase of 4.9%, mainly due to a 65.6% year-on-year increase in sales revenue of products managed by the Baozun brand, which includes GAP and Hunter brands. Under non GAAP accounting standards, the net loss was 15.424 million yuan, compared to 13.121 million yuan in the same period of 2023. Baozun E-commerce announced that in 2024, the GAP brand will gradually expand its offline stores and open about 5 stores in the second quarter.
As a former major shareholder of Baozun E-commerce, Alibaba submitted a 13F US stock holdings document in May this year, which showed that the total market value of Alibaba's holdings in the first quarter was $154 million, compared to $421 million in the previous quarter, a decrease of about 63.4% compared to the previous quarter. Specifically, Alibaba cleared 10 million shares of Bilibili (09626. HK) and 8.43 million shares of Zhiwen Group (MOMO. O) in the first quarter, and converted its 1.7 million shares of Zhihu (02390. HK) common stock into ADS.
At present, Alibaba holds a total of six stocks, with Weibo (Nasdaq: WB, 09898. HK) ranking first, accounting for 53.07%, holding 9 million shares worth 81.81 million US dollars; Xiaopeng Motors (NYSE: XPEV, 09868. HK) ranked second, accounting for 33.13%, holding 6.65 million shares worth $51.072 million. Alibaba maintains its position in Weibo and Xiaopeng Motors unchanged. In addition, Alibaba also holds PERF. US MariaDB (MRDB US）、 Stocks of companies such as BEST. US.
According to Da Zhihui VIP, as of press release, Baozun E-commerce rose 0.14% to HKD 7.020 per share, with a total market value of HKD 1.292 billion.