Internet group Tencent led a $600m round for China-based bicycle rental platform Mobike today that included financial services firms Bocom International and ICBC International.
Venture capital firm Sequoia Capital, private equity group TPG, hedge fund manager Hillhouse Capital and asset management firm Farallon Capital also contributed to the round.
Mobike operates an app-based bike rental service that was initially launched in Shanghai in April 2016, but which has expanded rapidly since. The company has launched in 100 cities so far this year, including in Singapore and the UK.
In addition to its core activities, Mobike is establishing an international internet-of-things (IoT) network in partnership with telecommunication and IoT companies. Tencent is also a strategic partner, making the startup‘s service available through its WeChat platform.
Mobike has now raised more than $1bn since it was founded in December 2015, Tencent having joined Hillhouse, Sequoia, Warburg Pincus, Qiming Venture Partners and individual investor Wang Xing for a series C round in October 2016 that was at least $100m in size.
Tencent co-led Mobike’s $215m series D round in January 2017 with Warburg Pincus that included Hillhouse, TPG, Sequoia, online travel agency Ctrip and hotel chain Huazhu Hotels.
Hillhouse, manufacturing services provider Foxconn and Singaporean state-owned investor Temasek had since added some $85m in post-series D funding. Mobike’s earlier investors include media group Bertelsmann’s Bertelsmann Asia Investments unit, Joy Capital and Panda Capital.
Davis Wang, co-founder and CEO of Mobike, said: “Mobike is the global leader in smart bike-sharing and through our relentless commitment to innovation we offer the world’s most advanced and user-friendly bike-sharing platform.
“We are pleased to secure the continued support of leading investors who share our vision for the transformative potential of the Mobike platform. Our platform is already revolutionising how people move in cities around the world; transforming the urban transportation landscape.”
A valuation for the round was not disclosed, but it was announced in the wake of reports that Mobike’s biggest rival, Ofo, is looking to raise $500 in a round that will value it at $3bn.
– Photo courtesy of Mobike