Chinese online grocer FreshMarket raises $38m round

Shanghai Dingfeng Asset Management and existing investor Tiantu Capital also participated in the round. FreshMarket will use the new capital to streamline its distribution process, improve its online user experience and take further control of its supply chain.

In an internal email, founder Zhang Hongliang said there is still plenty of room for growth in China's grocery delivery industry. Founded in 2012 in Suzhou, FreshMarket now operates in three cities in China, and is preparing to open in three more.

The company offers a wide selection of foods, with multiple delivery options. Customers can buy fresh vegetables, eggs, meat, dairy and oil, as well as packaged foods. Orders can be made over the phone or at self-service kiosks, and goods can be delivered to the home or retrieved from refrigerated storage cabinets.

FreshMarket has raised several rounds of funding, including a RMB45 million Series A from Nanking Sharelink Capital in 2014 and a RMB180 million Series B led by Tiantu last year.

Addor, a subsidiary of state-owned fund Govtor Capital, focuses on technology, healthcare, media and environmental opportunities. Recent investments include a $70 million round for Chinese app developer Holaverse and a RMB300 million commitment to online car trading platform Mychebao alongside JD Capital.

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• Topics
• Greater China
• Technology
• Consumer
• Venture
• China
• TMT
• Tiantu Capital
• Growth capital