China’s popular food delivery service Ele.me (which translates to “Hungry?”) raised a whopping $630 million in Series F funding at a $3 billion valuation right before the weekend, according to Tencent Tech (link in Chinese).
The round propels it into the number three spot of China’s top-funded startups, with about $1.1 billion in capital raised to date. Group buying website Meituan slips to fourth place, also with about $1.1 billion — though it could be argued the two are now joint-third.
Meanwhile, taxi-hailing app Didi Kuaidi and smartphone maker Xiaomi are still ahead in spots one and two respectively.
Didi has raised in the region of $3.4 billion at a reported $15 billion valuation in its fight against Uber (who hasn’t been having the easiest time in China of late, despite its best efforts), while Xiaomi has raised about $1.4 billion at a $45 billion valuation.
Ele.me previously raised $350 million in January from investors including CITIC Private Equity, Tencent (who owns WeChat, China’s popular mobile messaging platform that also supports food delivery services), ecommerce giant JD.com, and Sequoia Capital.
The latest round saw these existing investors back for more, plus the addition of Chinese retailer Hualian Group and private equity firm Gopher Asset.
The company now claims to have 300,000 restaurants on its platform across 260 cities in China, records close to $9.5 million in daily orders from about 40 million customers (98 percent of which are through mobile), and employs 10,000 people.
Ele.me leads the country’s online-to-offline (O2O) food ordering market with 40 percent market share, according to Beijing-based research firm Analysys International. (Meituan and Baidu are second and third, respectively).
Many of China’s largest Internet companies are this year investing in their own O2O push. Alibaba, for example, integrated O2O services into its Alipay ewallet last month — part of a wider $1 billion push into the space. And in May, the ecommerce giant embraced new visual QR-style codes for O2O transactions.
This may not be the last big investment we see into an O2O service in China this year.
Sequoia Capital is a venture capital firm specializing in seed stage, early stage, and growth stage investments. The firm invests in all sectors with a focus on energy, financial services, h... All Sequoia Capital news »
The development of Tencent and its products and services has profoundly influenced the way millions of Internet users communicate with one another socially and will continue to do so in the ... All Tencent news »
Alibaba.com is a B2B e-commerce company. Alibaba’s primary business is to serve as a directory of Chinese manufacturers connecting them to other companies around the world looking for supp... All Alibaba news »
Xiaomi Inc. is a privately owned company that designs, develops, and sells Internet services and consumer electronics. Xiaomi offers a suite of Internet services such as MiCloud, Xiaomi App ... All Xiaomi news »
JD(JD.com) is the largest B2C E-commerce company in China, with a market share of 43.9% in Q2, 2013. Along with 200% growth increase on Gross Merchandise Volume(GMV) in 10 consecutive years,... All JD.com news »
Didi Kuaidi is a company made up of China's two largest taxi-hailing firms- Didi Dache and Kuaidi Dache as result of a merger in Feb. 2015.... All Didi-Kuaidi news »
Meituan.com is a Chinese group buying website for locally found consumer products and retail services. The Meituan.com offers deals of the day by selling vouchers on local services and enter... All Meituan news »
Ele.me.com is a website that offers customer-to-customer meal ordering services. It also acts as a communication platform between users and restaurants. Ele.me.com plans on promoting the dig... All Ele.me news »