Foxconn’s $ 4 billion unit Jusda seeks pre-IPO funding
(Bloomberg) – Jusda, a logistics arm of Foxconn Technology Group, plans to raise funds from private investors ahead of a potential initial public offering as early as next year, according to people familiar with the matter.
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The supply chain management platform is looking to raise $ 300 million to $ 400 million in a pre-IPO cycle, the people said, asking not to be identified because the case is private. The company, which has a valuation of up to $ 4 billion, would use the proceeds for expansion against a backdrop of booming logistics services, people said.
The company is also in the early stages of evaluating a potential listing in Hong Kong in the second half of next year, the sources said.
No final decision has been made as considerations are preliminary, and details such as the size of the fundraiser could yet change, the people said.
Foxconn spokesman Jimmy Huang said Jusda had no plans for an IPO at the moment and declined to comment on the fundraiser.
Jusda has more than 2.5 million square meters of warehouse space at 150 locations around the world, with more than 1,500 air, sea and road routes, according to its website. In addition to managing freight transportation for Foxconn, which is Apple Inc.’s largest iPhone assembler, it also serves as a logistics hub for more than 1,000 global brand customers.
The company, which provides services to industries such as electronics manufacturing, automobiles, and consumer goods, raised about 2.4 billion yuan ($ 376 million) in a series A cycle in 2019, the website says.
(Updates with industries served by Jusda in the last paragraph.)
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