Hangzhou-based fintech platform Caogen Touzi has closed an RMB 2.3 billion ($357.8 million) Series D round led by Shanghai-listed Geo-Jade Petroleum, a property development and oil and gas firm, and other investors.
In a security filing, Geo-Jade Petroleum said it will invest no more than RMB 500 million ($78 million) in Caogen Touzi.
Caogen Touzi told Kr36 that the firm will focus on tapping the rural finance market in the future and use the funds for business development. It will also consider an overseas listing in the future.
“China has an 800 million rural population and it is an untapped market. In the past two years, CGTZ.com has been experimenting with the rural market with products including credit borrowing, consumer finance and industrial finance to fund pesticides and fertilizers,” said its CEO Jin Zhongkao.
Founded in 2013, Caogen Touzi means grassroots investments in Chinese. The firm provides investment products for small and medium-sized enterprises (SMEs) and individuals. It also provides collateral loans backed by vehicles and houses, and consumer instalment credit products in rural areas.
To date, the platform claims to have over 9 million registered users.
In 2017, Caogen Touzi raised an undisclosed Series C round led by China Media Group while in 2016, it raised an RMB 1 billion ($16 million) Series B round from Guanzhou Industrial Investment Fund Management. It also raised a $10 million Series A from Shunwei Capital in 2015.