Mobike, a Chinese bike-sharing startup, announced that it has received a strategic investment injection from Temasek Holdings, a Singaporean company, as it is locked in a fierce battle with Ofo for dominance in the country.
The 3-year-old startup has raised more than $300 million since the start of the year. Mobike did not disclose the specific amount of the investment injection.
According to Davis Wang, the co-founder and CEO of Mobike, the Beijing-based company accumulated more than 10 million users across 21 cities and provided more than 200 million bike-sharing rides in the same time frame.
Wang said: "With the help of new investors, we will expand presence in China and the overseas markets."
Hillhouse Capital, a leading investment powerhouse, also increased its bet in Mobike after its investment in late 2016.
"Mobike team has a clear vision for the future of urban transport. We look forward to leveraging our global network and resources to help Mobike bring its urban transportation solution to cities around the world," said Zhang Lei, the founder and chief executive of Hillhouse Capital.
The new investment came shortly after Mobike signed an exclusive strategic partnership with Foxconn Technology group last month. This partnership will help double its annual bicycle production capacity to more than 10 million units.
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Mobike raised approximately $215 million from investors, which is higher compared to its competitor Ofo, having an investment of $130 million.
According to data from iRearch Consulting Group, a research firm, the mobile app of Mobike had 5.85 million weekly active users as of the first week of 2017. This is significantly higher compared to Ofo's 1.4 million.
The competition between the two ride-sharing platforms is continuing as they are attracting new users with subsidies.
Zhang Xu, a Beijing-based transport analyst for internet consultancy Analysys, said: "The two sides are all armed with enough cash now. The competition will depend on which can offer better services with lower costs. Local governments are preparing to unveil regulation policies. Players need to pay attention to that."