Stock Alert: Secoo Surges 90%

(RTTNews) - Shares of Secoo Holding Limited (SECO) nearly doubled on Wednesday morning after it revealed that Qudian Inc. (QD) will buy a stake in the company.

Qudian agreed to buy 10.2 million newly issued Class A ordinary shares of Secoo for $100 million, reflecting a per share price of $9.80.

Qudian will hold about 28.9% stake in Secoo after the deal.

SECO is currently trading at $4.16, up $2.01 or 93.49%, on the Nasdaq. However, stock is still down nearly 35% for the year-to-date period. SECO has traded between $2.11 and $7.30 in that period.

Further, Secoo and Qudian will enter into a business cooperation agreement, especially in the online luxury e-commerce business space.