Chehaoduo Group secures $1.5 billion funding from the SoftBank Vision Fund, supporting Chehaoduo's bold vision to restructure automotive retail
28 Feb, 2019, 04:18 ET
BEIJING, Feb. 28, 2019 /PRNewswire/ -- Chehaoduo Group ("Group"), the parent company of Guazi.com & Maodou.com, announces that it has agreed to a $1.5bn investment from the SoftBank Vision Fund ("SVF").
Proceeds from this new round will support Chehaoduo's investments in technology to drive innovation in the sector, and develop new products and services across an increasing spectrum of customer needs. The Group also intends to expand its marketing capabilities and open offline stores to enhance new business activities.
In the past three years, Chehaoduo has become China's leading platform for integrated automotive retail services in the used car sector. The Group combines in-depth big data analytics and artificial intelligence technology to implement standardized evaluation and intelligent pricing mechanisms for China's highly fragmented and unregulated used car market. Furthermore, through continuously innovating across its product, service, and data platforms, the Group has significantly reduced barriers to purchase a new car for consumers as well. This includes pioneering new models in down payment purchasing, establishing closed-loop integrated automotive services of used car, new car and after-market services via over 600 physical stores, and building a new data-driven retail eco-system.
Mark Yang, the CEO of Chehaoduo Group, states, "The global automotive industry is experiencing unprecedented change and with this change comes great opportunities. The application of big data and artificial intelligence is the key to fundamental reform of automotive retail in China."
Eric Chen, Ph.D., Partner for SoftBank Investment Advisers, states, "China's used car market is growing rapidly but online penetration remains low and auto financing is underutilized compared to developed markets. In just three years, Chehaoduo Group, through the Guazi brand, has leveraged the latest innovations in data-driven technology to establish China's leading car trading platform. The company has a bold vision with technology at its center to underpin an industry network that will support transformative growth of the market."
"Chehaoduo Group is committed to promoting industrial improvement through technology reform and becoming the new engine to drive the future of automotive retail in China. Our vision is to help families in China to be able to own a better car. The support of the Vision Fund not only strengthens the Group's capital base, but also has the potential to boost our big data and AI innovation capabilities, which can be applied to the whole automotive retail value chain. In the future, the infrastructure and service of the entire sector will be significantly reconstructed by data technology innovation, promoting continuous improvements in service efficiency and consumer experience," added Mark Yang.
SOURCE Chehaoduo Group
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