Chinese Person-To-Business Funding Firm Raises US$80M Round

Zhang Peifeng, chairman of ShenZhen Grand Electronics Co., Ltd., a New Third Board-listed consumer electronics maker, has led a RMB500 million (US$80 million) series B round in, a Beijing-based person-to-business fundraising platform.

Founded in 2013, enables enterprises to secure car and real estate loans while allowing individuals to invest in those enterprises’ fundraising projects.

Following the investment, will support Grand’s expansion into the financial marketplace, forming a partnership in the fields of automotive, energy and Internet, according to a company announcement.

The company has a history of developing innovative financial products. In 2015, teamed up with Jiangxi Bank to promote a financial product aimed at people playing online games. The product offers credit to users in order to buy consumer items highlighted in the games.

In the same year, the firm formed partnership with Huishang Bank to develop a peer-to-peer platform in which the website acts as an agency between banks and customers. The model is considered safer and easier to control compared to traditional peer-to-peer platforms.

The start-up claims to have over 500,000 registered users, and over RMB8.1 billion (US$1.3 billion) in accumulative transaction value.

It previously raised an undisclosed strategic investment from Shanda Capital, the investment arm of Shanda Group, in 2014. It plans to use the latest proceeds to improve its technology, upgrade its brand and enhance its team.

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