JD counts on buyback to boost share price

Industry insiders said JD's announcement of a $1 billion share buyback program will reassure investors and boost its currently falling stock price, after authorities in the United States decided not to charge the e-commerce giant's CEO Liu Qiangdong for alleged sexual assault.

JD's American depositary receipts have plunged 52.3 percent in recent months, as the company has grappled with the fallout of the accusations against Liu, and has faced tougher competition from rivals such as Alibaba and Pinduoduo.

The company announced on Wednesday night that its board of directors has authorized a share repurchase program, under which the company may repurchase up to $1 billion of its shares over the next 12 months. The program covers about 3.5 percent of JD's market capitalization.