Last week (October 29 to November 4), a total of 124 investments and acquisitions took place in China, an increase by 24 deals compared with the week earlier. SaaS (Software as a service), along with healthcare, were the most preferred sectors for Chinese investors. There were 19 investments in SaaS and healthcare with each claiming 15% of the entire funds raised last week. (See details in Table-1).
As usual, the majority of investments remained in the early stages - 18 Angel and 47 Series A. (See details in Table-2).
Chinese giant companies BAT - Baidu (百度), Tencent (腾讯), and Alibaba (阿里巴巴) - all actively participated in last week’s funding.
The Passage takes a closer look at those significant investments.
Alibaba engaged in TMS Paris investment
On October 30, MSParis (女神派), a Chinese clothes rental platform, closed a USD 30 million Series B+ round from investors including Alibaba’s financial affiliate Ant Financial (蚂蚁金服), venture capital firms Northern Light Venture Capital (北极光创投), Matrix Partners China (经纬中国), and Oriental Fortune Capital (东方富海).
According to tech news aggregator cyzone.cn (创业邦), Ant Financial would form a comprehensive business cooperation with MSParis after the round. More details of the deal were not available immediately.
Baidu invested in Beijing Changyang Huijin Science & Technology Development
On October 31, Beijing Changyang Huijin Science & Technology Development (长扬科技), an industrial internet security expertise in China, completed an undisclosed amount Series A round from Baidu’s venture capital arm Baidu Venture (百度风投), stone venture capital (基石资本), Seven Nine (柒玖投资), and Beijing 1898 Venture Capital Management (一八九八创投基金投资). Details of how the company plan to use the funds were not disclosed.
Tencent invests in Zhonglan Media, Jingling Group, and VIP Peilian
On October 31, China’s e-commerce giant Tencent invested an undisclosed amount Series A fund of financing in Zhonglan Media (中澜视讯), a Chinese media and entertainment company that operates the popular short-video channel ViewOn (看鉴). The proceeds from the round would be mainly used for improving ViewOn’s video content and optimizing video production process, said Li Wei, the CEO of Zhonglan Media.
On November 1, Jingling Group (鲸灵集团), the operator of a famous community e-commerce platform haoyiku.com (好衣库), raised tens of thousands of US dollars in Series B+ round jointly led by Qiming Venture Partners (启明创投) and IDG Capital (IDG资本), with participation from Tencent, K2 Venture Capital (险峰长青) and Vision Capital (元璟资本). The fresh capital would be used to consolidate the supply chain, develop social e-commerce channels and develop an interactive shopping experience on the platform, Chinese news website China Money Network (中金投) reported.
On November 2, VIP Peilian (VIP陪练), a Chinese online music education platform, announced that it has raised USD 150 million in its Series C funding round led by Tiger Global (老虎环球基金). Other investors included existing backers Tencent, Orchid Asia (兰馨亚洲), GSR Ventures (金沙江创投), Bluerun Ventures (蓝驰创投) and etc. The funding round is the largest raised in the music education sector in China, according to Chinese tech news platform 36kr.com (36氪).
“We will use the funds to continue to leverage artificial intelligence and data, enabling more students, parents and teachers in the music education segment," said Ge Jiaqi, founder and CEO of VIP Peilian.