DCM leads $31.8m round for China B2B oil trading platform

PE-backed online truck logistics platform Huochebang also participated, in conjunction with several existing VC backers including SIG Asia, Sky9 Capital, Yunqi Partners and GGV Capital. The round brings the company's total funding to over $50 million, it said in a statement.

Founded in 2015, 51Zhaoyou.com facilitates online petroleum-based fuel trading between suppliers and buyers, covering diesel oil, kerosene, gasoline, and fuel oil. In addition to matching services, the platform also provides online payment, logistics, and lending services.

The company is headquartered in Shanghai, with branches in Zhejiang, Guangdong, Hubei and Jiangsu provinces. Since incorporation, 51Zhaoyou.com has facilitated RMB10 billion ($1.5 billion) worth of transactions, helping more than 5,000 Chinese enterprises purchase petroleum products. The company generated RMB500 million in revenue last year, with profits recorded in the fourth quarter, and it expects to reach RMB5 billion in revenue by the end of this year.

Zhaogang.com, a B2B steel-trading platform, provided seed funding when 51Zhaoyou.com was established, while SIG Asia led a Series A round in March last year. In December 2016, Sky9 led a $10 million extended Series A round for the company, alongside Yunqi and SIG. With the new funding, 51Zhaoyou.com plans to establish a network of 1,000 sales points.

Other industrial material trading platforms that have received VC and PE investments include Zhaogang and Zhaosuiliao, a B2B plastics trading platform.  

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• Topics
• Greater China
• Technology
• Early-stage
• Industrials
• China
• TMT
• GGV Capital
• DCM-Doll Capital Management