China’s JD.com is weighing a 2 billion pounds (US$2.68 billion) bid for The Very Group, a British online retailer, as the ecommerce company looks to expand in the UK.

The move follows JD.com’s failed takeover approach for Currys and its decision last year to end talks to buy Argos from Sainsbury’s.

Carlyle was preparing a 2 billion pounds (US$2.68 billion) sale of The Very Group after taking control of the business from the Barclay family in 2025.

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🔗 Source: Reuters

🧠 Food for thought

Implications, context, and why it matters.

The 2 billion pounds (US$2.68 billion) valuation masks a mixed set of numbers

A buyer would get a company focused on profit, while revenue at the British online retailer fell 1.8% to 2.1 billion pounds (US$2.8 billion) in FY25, its 2025 financial year 1. That approach pushed adjusted EBITDA margin to a record 14.7% and cut operating costs, excluding accounting revaluations, to their lowest share of revenue on record 1. The gains did not stop a much larger loss before tax, which widened to 505.4 million pounds (US$678 million) from 16.3 million pounds (US$21.9 million) a year earlier 1. Results also split by category. Home grew 9.9%, while fashion and sports fell 3.7% in a market shaped by heavy discounting 1.

JD.com would also gain a built-in payments business

The appeal may reach beyond retail sales, since a foreign buyer would get a payments operation that is hard to build from scratch 1. The Very Group describes itself as a “multicategory digital retailer and flexible payments provider” 1. Its financial services arm, along with shifts in what it sold, lifted gross margin to 36.6% in FY25 1. If a deal goes through, it could give global ecommerce groups a route into mature Western markets through established retailers with loyal shoppers who use store credit 1.

Recent JD.com developments

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