Legend Capital, the venture capital firm formed by conglomerate Legend Holdings, led a RMB200m ($28m) series A-plus round for China-based business-to-business automotive parts supplier Mancando on Monday.
The round also featured venture capital firm Eastern Bell Capital as well as China Galaxy Capital, an asset management subsidiary of investment bank China Galaxy Securities, and Oriza FOFs, the fund-of-funds division of investment firm Oriza Holdings.
Founded in 2015 and officially registered as Guangdong Mancando Information Technology, Mancando supplies automotive repair shops with components sourced from its supply chain and sold through a network of about 1,600 physical outlets.
More than 130,000 car repair stores use the company’s products, which include automotive brakes, filtering systems and lubricants. It will use the funding to scale its business, upgrading its 18 existing warehouses, opening 150 new outlets and adding some 2,000 new service providers.
The series A-plus proceeds will also go toward the launch of additional products, the recruitment of new employees and the formulation of contingent reserve strategies.
Xue Long, executive director at Legend Capital, said: “Mancando created a ‘manufacturing supply chain + channel brand + decentralised service network’ business model that has distinctive characteristics and vitality.
“By integrating high-quality manufacturing resources, the company has established a network of nearly 2,000 outlets in just three years and has reinforced its strong channel sales and service capabilities.”
Legend Capital also took part in a $25.2m series A round for Mancando in February 2019 that was led by Eastern Bell Capital, adding to about $6.4m supplied by Galaxy Capital in June 2018 according to media reports.