China’s ‘uber-for-trucks’ giants to merge in $2 billion deal - SupChina

China’s ‘uber-for-trucks’ giants to merge in $2 billion deal

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Bloomberg reports that Huochebang and Yunmanman, two of the largest apps providing Uber-like services for China’s cargo trucking market, have agreed to merge. Neither company would agree to comment, but “people familiar with the matter” said that:

  • “Wang Gang, a backer of Yunmanman’s and an angel investor in ride-hailing giant Didi Chuxing, would become the chief executive officer of the new entity” worth over $2 billion; and
  • The companies are “already in the process of seeking new funding to sustain their rapid pace of expansion.”

It’s another sign of a maturing market in on-demand services broadly, as TechNode reports that “6 of China’s bike rental companies have shuttered in the last 5 months” and other niche ride-sharing and vehicle rental companies have confronted new challenges.

Lucas Niewenhuis

Lucas Niewenhuis is an associate editor at SupChina who helps curate daily news and produce the company's newsletter, app, and website content. Previously, Lucas researched China-Africa relations at the Social Science Research Council and interned at the Council on Foreign Relations in New York. He has studied Chinese language and culture in Shanghai and Beijing, and is a graduate of the University of Michigan.