Huidian Cloud, a Chinese internet start-up that operates an online platform for electricity transactions, electricity data management and financial services, announced on Wednesday that it has raised tens of millions of yuan in a series A round of financing.
Chinese venture capital firm V-Capital, Baidu Ventures, a venture capital unit of Chinese internet giant Baidu, and other new energy-focused industry funds poured money into the new round. Returning investor, BOC & Utrust Private Equity Fund, also participated in the investment, according to a company statement. BOC & Utrust Private Equity Fund is a state-owned investment platform jointly established by Chinese cloud-based integrated financial service platform operator Utrust and a subsidiary of Bank of China (BOC).
Huidian Cloud, formerly known as Guangzhou Huidian Cloud Internet Technology Co Ltd, was created in 2017 by Hu Jia, a Chinese diver who won the gold medal at the 2004 Summer Olympics in the men’s 10-meter platform. Huidian Cloud mainly develops data intelligence technology to assist clients in four major domains, namely electricity trading, energy efficiency management, financial services, and other value-added services.
The investment came as the Chinese electricity market is growing rapidly. The amount of electricity traded in China was about 2.1 trillion kWh in 2018 and is estimated to reach 5.5 trillion kW in 2020, according to official statistics from the National Development and Reform Commission.
"Energy supply and demand is the foundation of the modern industry and one of the key investment areas of V-Capital. We will continue seeking and identifying valuable enterprises in key segments in the field, such as smart energy storage, and electricity-focused big data and AI technology applications," said Wang Tao, managing director of V-Capital.
The Guangzhou-based Huidian Cloud raised an undisclosed strategic investment from private equity firm BOC & Utrust Private Equity Fund in January 2018.