Pet consumers in the world’s most populous country are young and upwardly mobile, and businesses like Seek are emerging to satisfy their demands.
Pet food supplier Seek (Chinese: 帅克) completed its Pre-IPO round of financing of CNY 500 million (USD 75 million). The investment was led by Confitop Capital and Boyu Capital, followed by Riverhead Capital, Mango Fund, Sino Pacific Capital, Linyi City Fund and other investors.
The proceeds from this round of financing will be mainly used for the construction of a new factory and a supporting R&D testing center. Besides, the firm plans to further consolidate its advantage in the field of high-end pet food processing.
Founded in 2012, Seek is a company that focuses on the research, development and production of pet food. Through its high production capacity, raw material, logistics and R&D advantages, it has established a supply chain system to provide customers with one-stop pet food and pet snacks original entrusted manufacture (OEM) services.
The firm has since served multiple brands such as RedDog and MEOW FANS. Nonetheless, it faces intense competition from domestic rivals such as Parker Pet Food, Sanpo and Wanpy.
Jinding Capital mentioned that it helped Seek to formulate its business strategy. "It discovered that the pet food supplier is excellent at operating factories, management and produces good products as a result. Therefore, the capital advised the pet food supplier to transition the focus from branding to the factory and related B2B services", according to Jinding Capital.
Previously, Jinding Capital completed two consecutive rounds of investment worth millions of CNY in Seek, thereby becoming the second-largest shareholder. So far, the company has completed several rounds of financing, where more than 20 institutions and enterprises have invested in Seek.