BEIJING -- Shanghai-based e-commerce platform Xiaopangxiong has closed its Series B funding round, having raised 130 million yuan ($18.3 million) from investors led by Zhenghan Investment and followed by Yunqi Partners, reported Chinese tech-focused media outlet Lieyunwang.com on Wednesday.
Matrix Partners China, which led Xiaopangxiong’s Series A round, also contributed in this round.
The fresh funds will be used to hire new staff, upgrade its system and expand the company’s reach in the Yangtze River Delta region and later in other areas in China.
Xiaopangxiong, which means "little chubby bear" in English, was founded in May 2013. It has gained a total of 68,000 registered users, 45,000 of whom have once bought cement and glass products on the platform. The company has small- and medium-sized home decorating companies as its main buyers.
It has dozens of rivals based in different regions of China but none of these companies, including Xiaopangxiong, is big enough to be a dominant player in this sector, according to corporate intelligence information platform Tianyancha.com.
While e-commerce platforms such as Alibaba’s Taobao and JD.com are already entrenched in China, there are still niche markets in which entrepreneurs can make an impact.
Yang Ning, once an employee of Alibaba Group Holding, in July 2017 founded BWCMall, a website selling products for industrial maintenance, repair and operations. In September this year, the company closed its Series A round, raising $10 million.
BWCMall’s competitor Yesmro also closed its Series A round last month, bagging $10 million from investors led by Matrix Partners China.
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