(Yicai Global) Jan. 4 -- Chinese cloud service provider Beijing Kingsoft Cloud Network Technology Co., also known as Ksyun, raised USD220 million in a new financing round, bringing its valuation to USD2.1 billion, a record high for China's independent cloud services providers.
Three investment firms including Forebright Capital Management Ltd. led this series-D round of financing. The cloud services provider's parent company, Kingsoft Corp. Ltd. [HKG:3888], also participated in the investment, Tencent Finance reported today, quoting a company statement.
The company will use the funds raised to increase research and development efforts in artificial intelligence, consolidate its leading position in video, gaming and other internet fields and will make layout in more areas such as finance, manufacturing and healthcare, Kingsoft Cloud's CEO Wang Yulin said. Furthermore, the company is also expected to expand overseas markets including Europe, North America and Southeast Asia.
After the financing is completed, the parent's stake will be diluted to 51.73 percent. The company's actual controller is Lei Jun, chairman and chief executive of Beijing-based Xiaomi Inc., a major smartphone maker.
Lei Jun assumed the chair of Kingsoft's board in 2011. In 2013, he acquired 2.5 percent of the shares held by Tencent Holdings Ltd. [HKG:0700] for a sum of HKD191 million (USD24.4 million).
Kingsoft Cloud completed another funding round of USD300 million last December, with a valuation of USD1.9 billion, becoming China's highest-valued independent cloud services provider.