Hong Kong based on-demand delivery company Lalamove has announced that it plans to use the US$30m raised by its Series B Financing to expand its network to 100 cities.
The Series B Financing round was led by Xianghe Capital (a Beijing venture capital firm founded by former Head of Baidu M&A, Hesong Tang) with participation from Blackhole Capital and existing shareholders MindWorks Ventures and Crystal Stream.
The new investment round exceeds Lalamove’s previous three rounds of financing, bringing the startup’s total funding to a combined US$60m.
In a statement issued yesterday (10 January), Lalamove said it now “plans to launch in an additional 60 cities by the end of 2017″.
“Logistics is a big market – a USD 1.7trn market in China – and it accounts for up to 27 percent of GDP for some countries in Southeast Asia; it is underpenetrated by mobile internet,” said Shing Chow, Lalamove Founder and CEO. “Our users have said they want faster and simpler ways to send things in their cities and we have proven that we can help them deliver anything in less than an hour.
“The evolution of the logistics industry has not been as rapid as some other markets like communication, but we believe we are at a tipping point where transformation will now happen very rapidly. We will see some amazing companies built this this sector.”
Lalamove currently operates in 45 cities across China and Southeast Asia.
“Soon, the Lalamove app and services will be in all first- and second-tier cities and a number of economically viable third-tier cities in China, as well as major cities in Southeast Asia, allowing hundreds of millions of new users to experience the fastest delivery in the world,” claimed Chow.