Tencent Leads USD 160 Million Investment in an Industrial E-commerce Platform
A Series D funding round worth USD 160 million pushed up Zhenkunhang’s total financings to around USD 430 million, marking China's largest MRO investment in one round. Tencent led this round.
On June 18, Zhenkunhang (震坤行), an e-commerce platform for industrial products, announced that it has carried out its Series D funding round of USD 160 million. Tencent (腾讯), Genesis Capital (元生资本), Legend Capital (君联资本), and Matrix Partners (经纬中国) involved in this round.
This financing is the largest single-round financing in China's Maintenance, Repair, and Operation (MRO) industry, Matrix Partners reported.
Zhenkunhang, zhk360.com, is a one-stop industrial goods and services e-commerce platform. The platform provides more than 2 million types of excipients and consumables used in factories.
Thanks to its wide network, Zhenkunhnag brings about higher transparency and accessibility for the supply chain and digital procurement platforms of its third-party costumers; making an industrial transparency upgrade in China's MRO industry: just like they way Taobao and other e-commerce giants had in the consumer goods and services.
Notably, Matrix Partners has continued to increase the magnitude of its investment in Series B+, C, and D.
"Zhenkunhang is an important element of the portfolio of Matrix Partners' in the field of B2B trading. We are very optimistic about the MRO business' prospects. As a leader in this field, Zhenkunhang has always been focusing on the 'customer experience.' With the rapid growth of its operational scale, the company continues to consolidate the products. What's more, the CEO Chen Long (陈龙) is a successful entrepreneur who has been in the MRO field for more than 20 years," said Zuo Lingye (左凌烨), Partner at Matrix Partners China, stated. . "With a deep industry thinking and long-term strategic vision, the core team members has complementary capabilities and strong execution records. We are very optimistic about the broad prospects of industrial products' one-stop shopping in China, and we firmly believe that Zhenkunhang will lead and industrial paradigm change while creating a great value for its customers." Zuo stated.
Following the announcement Chen Long, Founder of Zhenkunhang, stated that the MRO industry has broad prospects and enormous challenges and to utilize the industrial potential better, Zhenkunhang will continue to increase its data intelligence operation investments.
China's MRO industry has long been a massive and rapidly expanding scene; however, its growth has downshifted as the labor costs continuously increase in China. Yet, it is still a gigantic sector; especially for a platform that dominates the industry.