Followers | 689 |
Posts | 143817 |
Boards Moderated | 35 |
Alias Born | 03/10/2004 |
Sunday, March 22, 2020 5:02:07 PM
By: Reuters | March 20, 2020
BEIJING (Reuters) - Chinese online education platform Yuanfudao, which is backed by tech giant Tencent Holdings <0700.HK>, is close to completing a financing round that would value it at around $7.5 billion, two people familiar with the matter said.
The talks make Yuanfudao, which was founded in 2012 and offers online courses and homework plans to students, a rare bright spot of activity in the deal-making world, which has largely dried up as the coronavirus pandemic has suspended most travel and business meetings.
Yuanfudao's focus on online learning puts it in one of the few sectors that have seen a surge in investor interest as the coronavirus and school closures force students in China to attend classes via the internet.
The round of financing is led by Tencent Holdings <0700.HK> and private equity powerhouse Hillhouse Capital Group, the people said, declining to be named because the information isn't public.
Yuanfudao's fundraising round kicked off before the Lunar New Year holiday in late January when the company originally aimed to raise as much as $1 billion, according to the people. The talks are ongoing and the investment amounts have not been finalised, the people added.
A company spokeswoman told Reuters in an emailed statement the information about valuation and deal timing was "not accurate" but did not elaborate. Tencent and Hillhouse did not immediately respond to a request to comment.
The company sought to close the round sooner and opted not to spend time seeking more investors, including new ones who would have needed extra time to conduct offline due diligence due to the outbreak, the people said.
Tencent is an early investor in the firm while Hillhouse was in constant talks with the startup before this fundraising, one of the people said.
Online Chinese education apps like Yuanfudao's have seen a sharp rise in downloads and usage amid the outbreak and the sector has become even more popular globally, as the coronavirus spread to 178 countries, causing school shutdowns globally.
Between January and mid-March, Yuanfudao ranked first in in-app purchases on the Chinese app store's education category, according to mobile app performance tracker App Annie.
DingTalk, developed by Alibaba Group <BABA.N> to help pupils communicate with teachers and watch online classes, became the most-downloaded free app at the Chinese app store over February, the App Annie data showed.
Yuanfudao was valued at $3 billion in a previous round of financing in 2018, according to its official site. The company, which says it has 400 million users, also counts Warburg Pincus, Matrix Partners China, and IDG Capital as its backers.
Read Full Story »»»
DiscoverGold
Information posted to this board is not meant to suggest any specific action, but to point out the technical signs that can help our readers make their own specific decisions. Caveat emptor!
• DiscoverGold
Recent TCEHY News
- Intuitive Machines Soars 18% on NASA Contract, Intel Considers Splitting Operations, Dell Reassesses Selling SecureWorks • IH Market News • 08/30/2024 10:00:08 AM
- Starbucks Rises 3%; Disney Unveils New Films and Expansions; Uber CEO Questions Tesla Robotaxi Viability, and More • IH Market News • 08/12/2024 09:46:16 AM
- TSMC July Revenue Surges 45%, Nasdaq Accelerates Penny Stock Delistings, Moody’s Downgrades Intel to BAA1, and More • IH Market News • 08/09/2024 09:44:44 AM
- Doordash and Deliveroo Terminate Talks; Universal Announces UK Theme Park Plan, and More News • IH Market News • 06/26/2024 11:08:35 AM
- Wall Street Highlights: Apple Appeals Watch Ban, Tesla to Launch Updated Model Y, and More • IH Market News • 12/27/2023 11:08:22 AM
- Correction to Global Gaming Stocks Article • Dow Jones News • 12/22/2023 12:32:00 PM
- Global Gaming Shares Dive After China Proposes Online-Gaming Curbs -- 2nd Update • Dow Jones News • 12/22/2023 12:13:00 PM
- Global Gaming Shares Fall After Draft China Rules Released -- Update • Dow Jones News • 12/22/2023 10:28:00 AM
- Moody’s Reassesses China, GitLab Exceeds Estimates, Twilio Plans Major Layoffs, and More • IH Market News • 12/05/2023 11:25:58 AM
- Canada Bans WeChat, Kaspersky Apps on Government Devices • Dow Jones News • 10/30/2023 05:12:00 PM
- Crypto This Friday: THORSwap Resumes Operations, Paolo Ardoino Takes Over as Tether CEO, and More • IH Market News • 10/13/2023 05:46:35 PM
VHAI - Vocodia Partners with Leading Political Super PACs to Revolutionize Fundraising Efforts • VHAI • Sep 19, 2024 11:48 AM
Dear Cashmere Group Holding Co. AKA Swifty Global Signs Binding Letter of Intent to be Acquired by Signing Day Sports • DRCR • Sep 19, 2024 10:26 AM
HealthLynked Launches Virtual Urgent Care Through Partnership with Lyric Health. • HLYK • Sep 19, 2024 8:00 AM
Element79 Gold Corp. Appoints Kevin Arias as Advisor to the Board of Directors, Strengthening Strategic Leadership • ELMGF • Sep 18, 2024 10:29 AM
Mawson Finland Limited Further Expands the Known Mineralized Zones at Rajapalot: Palokas step-out drills 7 metres @ 9.1 g/t gold & 706 ppm cobalt • MFL • Sep 17, 2024 9:02 AM
PickleJar Announces Integration With OptCulture to Deliver Holistic Fan Experiences at Venue Point of Sale • PKLE • Sep 17, 2024 8:00 AM