Legend Capital and Tiger Global Management have led a US$129 million series C round in Shanghai-based industrial products e-commerce platform Zhenkunhang, according to an announcement on its official WeChat account.
Shell (China) Ltd., Oriza Holdings and existing investors including Matrix Partners China and Eastern Bell Venture Capital, also participated in the round.
Founded in 1996, Zhenkunhang is an e-commerce platform focusing on industrial products, providing maintenance, repair and operation(MRO) tools and consumables. It offers one-stop MRO purchasing and management services.
Its platform covers 1 million stock keeping unit (SKU) from more than 5,000 brands and serves more than 12,000 industrial customers. The company has 8 regional warehouses and 35 smaller warehouses across China.
“As an industrial country, China has an MRO market worth of trillions of RMBs…” said Wang Pengfei, managing director of Tiger Global Management. “Zhenkunhang offers professional MRO services, which solves the procurement issue of many manufacturing companies. Its team has rich experience in supply chain and excellent operational capabilities, significantly improving MRO procurement and reduce costs.”
Proceeds of this round will be used for research and development of IoT technology, and further development of its supply chain, distribution and equipment leasing businesses.
In December 2017, the company completed a RMB580 million series B and B+ round led by Genesis Capital.
E-commerce platforms focusing on industrial products have attracted millions of USD this year. In July, industrial B2B marketplace Haogongpin raised a US$16 million series A+ round led by Eastern Bell Venture Capital. In May, Suzhou-based Vipmro.com raised a RMB200 million (US$29 million) series B round led by JD.com.
Source: China Money Network
