Chinese Uber-rival Didi Chuxing gets $4 billion in new funding

Didi_Chuxing

Didi Chuxing raises $13 billion in fresh round

Didi says it will invest the fresh injection of capital into boosting its artificial intelligence capacity, overseas expansion and new-energy vehicle service networks.

Chinese ride hailing firm Didi Chuxing is now the second valuable venture-backed private company after it raised $4bn (£2.9bn) in its latest funding round on Tuesday. While the company has focused on shoring up its grip on ride-sharing in China, it has started to look beyond the mainland and is turning to franchising in Taiwan.

Didi's latest valuation includes its acquisition of Uber's China operations, which it bought previous year following a fierce battle between the rivals that was losing both companies money.

The funding gives Didi a value of $56bn, making it one of Asia's largest tech startups, Bloomberg reported, citing people with knowledge of the situation.

The new investment will also help Didi to challenge its rival Uber.

The deal came after the People's Bank of China, the nation's central bank, said past year that it would control the number of third-party payment licenses issued, making them highly sought-after.

According to the Wall Street Journal, Japan's SoftBank Group and Abu Dhabi state fund Mubadala Development Co. participated in the latest funding round.

Didi's partnership with Careem, which gave it an undisclosed shareholding in the Middle East's first tech "unicorn", gives Careem access to the Chinese firm's deep expertise in areas such as artificial intelligence and global markets, as Careem seeks to develop its product and further expand its geographic reach.

Latest News