US tech giant Google announced a strategic partnership with China’s e-commerce site JD.com. Google will invest $550 million in the Chinese store as part of its efforts to expand its presence in Southeast Asia, the US and Europe. 

The internet giant will receive 27.1 million newly issued Class A ordinary shares of JD.com at an issue price of $20.29 per share. The American depository receipts of JD.com stood at $43.59 last Friday. The company’s shares rose by 24%. A total of 2.4 billion Class A shares were issued. 

In the near future, JD.com intends to raise $1.9 billion. In addition, the retailer expected to receive about $2.5 billion by selling a stake in its logistics business to investors including Hillhouse Capital and Tencent Holdings Ltd. 

The e-commerce company plans to boost its presence in the sectors of securities, banking services and insurance. According to experts, this attracts potential investors.

JD.com also plans to invest part of the funds in the development of its own financial services. At the end of March 2018, JD.com had over 301 million active consumer accounts. This is a 28% increase over the same period in 2017. According to experts, retail sales through the JD.com platform in the Chinese market increased by 31% year-on-year.

JD.com can maintain high growth rates due to an increase in online purchases. According to the retailer's forecast, the company's sales in the second quarter of 2018 will grow by 31% compared to the previous year.