Hong Kong taxi operators are gearing up for battle against ride-hailing firm Uber by launching a new app while Cathay Capital and GLP have co-led a Series B financing round for logistics provider Zongteng Group.
Hong Kong taxi operators launch app to take on Uber
An alliance of Hong Kong taxi operators is gearing up for battle against ride-hailing firm Uber by launching its own app called eTaxi, according to a report by South China Morning Post.
Hung Wing-tat, Chairman of the Hong Kong Taxi Council, announced that the app will be launched in the coming months, with plans to ultimately cover all the city’s 40,000 cab drivers.
He said the council was still inviting drivers to join the platform, which would be officially launched when a sufficient number of drivers join it.
The platform will join a number of cab-hailing apps already available for download, including HKTaxi, Fly Taxi, God Taxi, and others, most of which have been around for a few years and have thousands of users.
It has more functions than other existing ride-hailing apps and would be the first to encompass the whole industry in the city.
“This app is jointly financed and developed by the 17 taxi groups and we are seeking more funding support from other stakeholders,” he said, adding that so far about 1,000 drivers had signed up for the platform.
Founded in 2016, the council is an alliance of 17 of the biggest Hong Kong taxi associations and counts taxi owners, drivers, and other industry stakeholders among its members.
Cathay Capital and GLP co-lead series B round for Zongteng Group
Chinese private equity firm Cathay Capital and logistics solutions provider GLP have co-led a 700 million yuan ($104.34 million) Series B financing round for Zongteng Group, a Chinese cross-border e-commerce logistics provider, according to China Money Network.
Returning investor Eastern Bell Venture Capital, a Chinese venture capital firm, also poured money into this round.
Founded in 2007, Zongteng Group, fully known as Fujian Zongteng Network Co., provides cross-border shipping solutions for e-commerce companies.
It was first established in Fuzhou, China, and has set up subsidiaries in Shenzhen, Wuhan, Guangzhou, Yiwu and Hong Kong. It has also set up branches in the United States, Britain, Germany, Japan, Australia and other countries.
Last July, Cathay Capital reached the first close of its second mid-market fund at 600 million euros ($704 million). The second fund, Cathay Midcap II, is targeting to raise a total of 1.2 billion euros ($1.4 billion) by the first half of 2019, it said in a statement.