Uber needs a win in China, and that's looking harder every day than it once did.
Didi Kuaidi, the Chinese car-booking business, has attracted Beijing Automotive Group Co. as an investor in its latest funding round, according to people familiar with the matter.
Beijing Automotive, controlled by the State-owned Assets Supervision & Administration Commission of Beijing, joins sovereign wealth fund China Investment Corp. as investors in Didi, the people said, asking not to be identified because the matter is private. The rival to Uber Technologies Inc. has already raised $2 billion in its latest round.
Xiaoju Kuaizhi Inc., which owns the Didi and Kuaidi mobile applications, is expanding its shuttle bus, chauffeur and carpooling services in China. The company is said to have fetched a $15 billion valuation from investors, including Ping An Ventures and Capital International Private Equity Fund, in this round.
Didi, Beijing Automotive and CIC declined to comment.
Beijing Auto makes cars for the China market through ventures with Hyundai Motor Co. and Daimler AG, according to its website.
Didi Kuaidi runs two apps that customers use to access its services, while combining their technology and data. The company has 1.5 million taxi drivers in its network out of the 2 million in all of China, according to the letter to investors.
Uber plans to invest more than $1 billion in China this year, according to a letter the San Francisco-based app sent to investors earlier this year.
–With assistance from Tian Ying in Beijing.
This article was written by Bloomberg News from Bloomberg and was legally licensed through the NewsCred publisher network.
Subscribe to Skift Pro
Subscribe to Skift Pro to get unlimited access to stories like these ($30/month)Subscribe Now
U.S. Hotel Performance Slips While China Roars Back to Life
The U.S. and China are riding a hotel performance see-saw where one goes up as the other comes down. But travel analysts and executives are downplaying the notion the Delta variant is going to lead to a travel doomsday scenario over the fall and winter.
Cameron Sperance | 2 days ago
Chinese Travelers Still See U.S. as Most Unsafe for Travel
Got the pandemic under control? That remains a key factor for Chinese tourists to go abroad, a new sentiment survey from Dragon Trail shows. None of that "living-with-the-virus" approach that some Asian destinations are starting to embrace.
Lebawit Lily Girma | 3 days ago
IHG Locked in Fierce Luxury Competition and 11 Other Top Travel Stories This Week
In Skift's top stories this week, IHG makes further inroads in the luxury sector, the travel industry grapples with the prolonged absence of Chinese visitors, 2021 emerges as the year of travel companies going public, and the trend of tour operator mergers continues.
Rashaad Jorden, Skift | 3 weeks ago