China-based retail and logistics services provider Huimin has attracted RMB1.6bn ($225m) in funding from investors including Fosun Capital, an investment arm of diversified conglomerate Fosun International.
State-owned private equity firm Jinan Industry Development Fund led the round, which included Fortune Capital, GP Capital and China Renaissance, according to China Money Network.
Founded in 2013, Huimin has built a digital platform consisting of four businesses that tailor to small, community-sized retail outlets, as well as their suppliers and local residents.
The company’s products include an intelligent business management system and a business-to-business marketplace through which shop managers can order stock.
Huimin also operates group-buying syndicates where retailers club together to purchase products with frequent turnover in their stores, as well as a chain of convenience stores under the brand name Haijia Bianli.
The funding will be used to make the company’s distribution network more efficient. It currently operates almost 30 logistics centres and 1,000 distribution vehicles that collectively serve some 600,000 retail clients in 23 Chinese cities.
Huimin will also devote funding to expanding its team, promoting its digital services and launching a new retail business while building out its ecosystem of community retail partners.
The company closed a $100m series A round in 2015 backed by GP Capital, Shenzhen Fortune Venture Capital, Citic Private Equity and Zheshang Venture Capital, before adding $192m of series B funding the following year at a reported valuation of more than $2bn, according to China Money Network.
The series B round was co-led by financial guarantee provider China United SME Guarantee Corporation, China Innovation Investment and Western Securities, with participation from Morningside Ventures, Zheshang Venture Capital and GP Capital.