Dada Announces Pricing of Initial Public Offering

Rhea-AI Summary

Dada Nexus Limited (NASDAQ: DADA) has priced its initial public offering (IPO) of 20 million American depositary shares (ADSs) at US$16 each, aiming for total gross proceeds of US$320 million. This offering allows underwriters to purchase an additional 3 million ADSs within 30 days. The ADSs will begin trading today on the NASDAQ Global Select Market under the symbol 'DADA.' Dada operates JD-Daojia and Dada Now, key platforms connecting local on-demand retail and delivery in China, enhancing customer experiences and order efficiency.

Positive

• Gross proceeds of US$320 million from IPO enhance capital for growth.
• Dada operates two interconnected platforms, boosting order volume and efficiency.

Negative

• Potential dilution of existing shares if underwriters exercise their option for additional ADSs.

SHANGHAI, China, June 05, 2020 (GLOBE NEWSWIRE) -- Dada Nexus Limited (NASDAQ: DADA) (“Dada” or the “Company”), a leading platform for local on-demand retail and delivery in China, today announced the pricing of its initial public offering of 20 million American depositary shares (“ADSs”), each represents 4 ordinary shares of the Company, at US$16 per ADS for total gross proceeds of US$320 million, assuming the underwriters do not exercise their over-allotment option to purchase any additional ADSs. The ADSs are expected to begin trading on the NASDAQ Global Select Market today under the ticker symbol “DADA.”

The Company has granted the underwriters an option, exercisable within 30 days from the date of the final prospectus, to purchase up to an aggregate of three million additional ADSs.

Goldman Sachs (Asia) L.L.C., BofA Securities, Inc., and Jefferies LLC are acting as joint book runners for the offering.

Dada’s registration statement relating to the offering has been filed with, and declared effective by, the U.S. Securities and Exchange Commission. This press release does not constitute an offer to sell or a solicitation of an offer to buy the securities described herein, nor shall there be any sale of these securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

The offering of the securities is made only by means of a prospectus forming a part of the effective registration statement. A copy of the final prospectus relating to the offering may be obtained, when available, by contacting the following underwriters:

Goldman Sachs & Co. LLC
Attention: Prospectus Department
200 West Street 
New York, NY10282-2198
Phone: +1 (212) 902 1171
Email: prospectus-ny@ny.email.gs.com

BofA Securities
NC1-004-03-43
200 North College Street, 3rd floor
Charlotte, NC 28255-0001
Attn: Prospectus Department
Email: dg.prospectus_requests@baml.com

Jefferies LLC
Attention: Equity Syndicate Prospectus Department
520 Madison Ave, 2nd Floor 
New York, NY 10022
Phone: +1-877-821-7388
Email: prospectus_department@jefferies.com

About Dada Nexus Limited

Dada Nexus Limited (NASDAQ: DADA) (“Dada” or the “Company”) is a leading platform for local on-demand retail and delivery in China. The Company operates JD-Daojia (“JDDJ”), one of China’s largest local on-demand retail platforms for retailers and brand owners, and Dada Now, a leading local on-demand delivery platform open to merchants and individual senders across various industries and product categories. The Company’s two platforms are inter-connected and mutually beneficial. The Dada Now platform enables an improved delivery experience for participants on the JDDJ platform through its readily accessible fulfillment solutions and strong on-demand delivery infrastructure. Meanwhile, the vast volume of on-demand delivery orders from the JDDJ platform increases order volume and density for the Dada Now platform.

For more information, please contact:

Dada Nexus Limited
Ms. Caroline Dong
E-mail: ir@imdada.cn

Christensen

In China
Mr. Christian Arnell
Phone: +86-10-5900-1548
E-mail: carnell@christensenir.com

In US
Ms. Linda Bergkamp
Phone: +1-480-614-3004
E-mail: lbergkamp@christensenir.com

FAQ

What is the IPO price of Dada Nexus Limited's shares?

Dada Nexus Limited has priced its IPO at US$16 per American depositary share.

How many shares are being offered in Dada's IPO?

The IPO features 20 million American depositary shares (ADSs).

When did Dada Nexus Limited's shares begin trading on NASDAQ?

Dada's shares began trading on NASDAQ on June 5, 2020.

What is the total gross proceeds Dada expects from its IPO?

Dada expects total gross proceeds of US$320 million from its IPO.

Who are the underwriters for Dada's IPO?

Goldman Sachs, BofA Securities, and Jefferies are acting as joint book runners for the offering.