China's vegetable-selling app Meicai said to raise more than $600m

Meicai application. Photographer: Justin Chin/Bloomberg

Meicai, a Chinese startup that helps farmers sell vegetables to restaurants, raised at least $600 million in a funding round led by Hillhouse Capital and Tiger Global Management, people familiar with the matter said.

The money will be used to expand as the startup competes for a bigger share of China’s fragmented food sourcing market, the people said, asking not to be identified as the details are private. According to one person familiar, the company raised about $800 million at a valuation of about $7 billion. Meicai was said to be valued at about $2.8 billion pre-investment in its previous funding round in January.

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