China: Longrich leads $30m extended Series B round in O2O firm 8DoI.com

8Dol.com, a Chinese campus online-to-offline (O2O) service provider, has raised $30 million in an extended series B round.

The funding was led by cosmetics company Longrich. Domestic fund Jiangsu Suda Tiangong Venture Capital also participated, according to a company release.

O2O is one of China’s hottest tech sectors. Such startups draw mobile users to local physical stores and services.

8Dol.com will use the funding expand its online retail business, and develop new products in collaboration with Longrich. For the latter, it is a strategic investment to reach a new generation of buyers. It currently produces household cleaning and personal care products.

As part of the strategic investment, 8Dol.com will cooperate with Longrich to develop new products targeting the new generation. The company will use the fresh funding to expand its online retailing business.

8Dol.com had last raised funding in March last year, from Shunwei Capital Partners and Fosun Kinzon Capital.

The startup enables students to order food, drinks and fresh product online, which is then delivered to campuses. 8Dol.com has built a network of more than 14 warehouses and 500 distribution centers, which enables it to reach a wide swatch of campuses in China. It currently delivers to over 2,000 universities, about a thousand office buildings and convenience stores in 50 cities.

Online campus stores have recently attracted investor interest. Shanghai-based Zhai.me raised $35 million in a series B round, while rival 59store.com raised $31 million in a round led by Shenzhen Capital Group.

The O2O sector boomed in China driven by three factors: widespread usage of smartphones, a burgeoning mobile payment sector and cheap migrant labor. O2O startups developed apps for services from ride hailing and food delivery to group discounts at shops, restaurants and cinemas, and attracted billions in funding from technology giants Baidu, Alibaba and Tencent  as well as from venture capitalists, private equity and sovereign wealth funds.

But the tide began to turn in the last quarter of 2015, as investors started warning of a market bubble. The funding environment quickly turned adverse, as skyrocketing valuations deterred investors from fresh funding, leading to the shutting down or acquisition of several such companies.

Also read:

In China’s online-to-offline tech, unicorns are turning into “unicorpses’

Indonesia’s MatahariMall ties up with state postal service for O2O push

CPG firms must embrace digital commerce in APAC markets: Accenture

 

 

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.