Ofo Eyes New Round of Funding Worth USD1 Billion With Alibaba as Likely Investor

Ofo Eyes New Round of Funding Worth USD1 Billion With Alibaba as Likely Investor

Dou Shicong

Date: Thu, 12/07/2017 - 19:11 / source:Yicai
Ofo Eyes New Round of Funding Worth USD1 Billion With Alibaba as Likely Investor
Ofo Eyes New Round of Funding Worth USD1 Billion With Alibaba as Likely Investor

(Yicai Global) Dec. 7 -- Chinese bike-sharing titan Beijing Bikelock Technology Co, often referred to as Ofo, may soon complete a new round of financing, with Alibaba Holding Ltd. [NYSE:BABA] is expected to be a possible investor yet again. However, Ofo hasn’t confirmed the news yet.

At Ofo’s Moscow market entry ceremony held last September, Yang Pinjie, co-founder of Ofo, revealed that the company would soon carry out a new round of financing to raise USD1 billion. In October, Ofo’s early investors confirmed the firm’s new fund-raising plans, tech.sina.com reported.

Ofo’s last round of financing was carried out in July, raising USD700 million, with Alibaba as the lead investor. However, Alibaba has not yet obtained the control of Ofo, whose No. 1 external shareholder is Didi Chuxing, China’s car-hailing giant, owning 25 percent of company’s stakes.

On Dec. 4, Alibaba’s financial services arm, Ant Financial Services Group, was the lead investor in a new round of financing that raised USD 350 million for Hellobike, a tier-two bike-sharing company. At present, Ant Financial holds 32 percent of Hellobike’s stakes and is its largest external shareholder.

Ofo is valued at USD3 billion, while its main rival, Mobike, which completed USD600 million financing in June, is valued at about USD2 billion, Bloomberg News reported.

Follow Yicai Global on

Keywords: OFO, Alibaba, Mobike, Hellobike