China-based online financial services provider Lufax confirmed on Friday it has raised almost $1.22bn in series B financing from investors including insurance firm Ping An at an $18.5bn valuation.
The round consisted of $924m in equity funding from investors including the state-owned Bank of China Group, state-owned food producer Cofco, investment bank Guotai Junan and investment group Minsheng Shangyin International, and $292m from its series A backers.
Founded in 2011, Lufax oversees an online peer-to-peer lending and brokerage platform with 3.6 million active users as of the end of 2015. It intends to also expand into wealth management services, helping domestic clients to invest internationally.
The company was launched as a subsidiary of Ping An, which held a 47.5% stake in the run-up to the series B round, and it still describes itself as an associate of the firm. Its share now stands at 44%, according to Lufax chairman Gregory Gibb.
Lufax previously raised $500m of funding at a $10bn valuation from backers including BlackPine Private Equity Partners, CDH Investments and China International Capital.
The financing is set to be followed by an initial public offering in which, according to IFR, Lufax would look to raise up to $5bn. It is expected to take place in the second half of this year, and the company is considering a dual listing in China and the US.