Chinese peer-to-peer lending platform Furongbao announced that it has received a RMB800 million (US$120.6 million) series B round, strategic investment from a controlling shareholder of Wanjiale Gas Appliances, a Chinese household appliances manufacturer.
Furongbao did not disclose the identity of the investor but said the investor engages in electricity transmission and distribution equipment manufacturing and supply chain management business.
Launched in 2013 by Liang Zhenbang, a former investment director at retailer Suning.com, Furongbao provides online loans to consumers and small and medium-sized enterprises.
Proceeds of this round will be used to upgrade its logistics financing and consumer financing services, research and development investment and to further improve the firm’s internal risk control.
In 2015, the company received a RMB350 million (US$52.7 million) from SB China Venture Capital, Zheshang Fund Management Co., Ltd., and Shanghai-listed Shanghai Fukong Interactive Entertainment Co., Ltd., a company engaged in network technology development.
Compared to the initial public offering wave of Chinese P2P companies last year, investments in this sector have cooled down this year. China Money Network recorded only two major investments in the sector this year.
Last month, P2P lending platform Touzhijia raised a US$63.7M series B round led by Shenzhen Jiawei Photovoltaic Lighting Co. Ltd and in January, Japan’s financial services firm Orix Corp led a US$70M follow-on series D round funding in Dianrong.