Newlink Group, a Chinese online tech platform, has secured $200 million in funding. Bain Capital was the lead investor. Newlink’s existing backer Joy Capital also participated in the fundraising.
BEIJING, March 22, 2021 /PRNewswire/ — Newlink Group (“Newlink”, “Company”) announced that it has closed $200 million in incremental equity financing led by Bain Capital, a leading global multi-asset alternative investment firm. Existing investor Joy Capital also participated in the fundraising. The current round of fundraising came after another $100 million funding announced earlier this year, bringing Newlink’s total fundraising to $300 million so far in 2021.
Newlink has attracted a diverse group of investors, which includes CMBI, CICC Capital, Xiaomi Corp, NIO Capital, KIP China, SME Development Fund and Hongtai Aplus.
Founded in 2016, Newlink is a fast-growing online technology platform that helps match drivers in China with the best gas stations and charging piles. The company’s solutions also help both gas station and electric vehicle charging station owners drive incremental sales, reduce procurement costs, manage operations and grow profits.
Newlink is the undisputed leader in China’s energy technology sector. Through its two leading apps “Tuanyou” and “Kuaidian”, Newlink targets to serve the 400 million drivers in China, leveraging its network of 23,000 gas stations (20% of total number of gas stations in China) and 700,000 charging piles (90% of total number of EV charging piles in China) in 1,700 cities and towns across the country.
As a leading technology company that offers innovative solutions to promote digitalization in the energy ecosystem, Newlink made the list of 2020 Global Top 500 New Energy Enterprises. Newlink also ranked fourth in the country under Deloitte’s “Technology Fast 50” China 2020 Programme. According to Analysys Qianfan, “Tuanyou” is the most widely used fueling app with the highest market penetration.
In line with China’s commitment to tackling global warming and climate change, Newlink targets to become a net-zero emissions business and to support the transformation of other energy companies. Last year, China announced that it aims to become carbon-neutral before 2060. In the next five years, the nation will aim for a 13.5% reduction in energy consumption and a 18% reduction in CO2 emissions per unit of GDP by 2025. To help achieve this goal, the Company is fully committed to utilize its technologies and resources to support traditional energy companies to cut costs and reduce inefficiencies in the procurement process.
Zhen Dai, Founder and Chairman of Newlink, said, “Newlink is committed to bridging the gap and connecting all the dots in the energy value chain. We support gas and EV charging station owners with tools that cut costs and drive sales, while at the same time provide consumers with seamless and customized fueling and charging experience. The strategic partnership with Bain Capital is an important step towards realizing Newlink’s ambition to transform the energy industry and build a greener society. Improved efficiency in the energy market will benefit producers, distributors and users from a cost perspective. It will also reduce carbon emissions, taking us a step further towards creating a more environmental-friendly society.”
Bain Capital, the lead investor of this round of financing, is one of the world’s leading private multi-asset alternative investment firms with approximately $120 billion in assets under management. In 2005, Bain Capital invested in FLEETCOR, the largest energy platform in the United States, and supported the company’s listing on the New York Stock Exchange in 2010.
Drew Chen, Managing Director of Bain Capital Private Equity, said, “We are excited to partner with Newlink and its talented management team. Through innovative technology solutions, we hope Newlink can help accelerate the digitization efforts of China’s energy ecosystem, and support China’s transition to a low carbon economy by improving efficiency and promoting the shift to electric vehicles. We look forward to leveraging our deep operational expertise in the industrial sector globally to support and grow the company’s businesses.”
Joy Capital has been supporting Newlink since 2019 through its initial and subsequent investments in the Company. It values and shares Newlink’s vision and ambition in transforming China’s energy sector through digitization and environmentally sustainable solutions.
Erhai Liu, Founding and Managing Partner of Joy Capital, said, “China’s energy revolution is accelerating, propelled by technology development and China’s pledge to achieve carbon neutrality. Newlink will play an important role in this revolution. Joy Capital will always support Newlink’s efforts to digitize the traditional energy sector to improve efficiency and promote low-carbon energy.”
Founded in 2016, Newlink Group is China’s leading provider of technology platforms and tech-enabled services to the energy value chain, principally serving gas and EV charging stations. The Company’s broad offering of digital solutions include targeted online marketing tools, cloud-based SaaS systems and supply chain solutions that help merchants drive incremental sales, reduce cost, manage operations and grow profits. The company aims to improve the efficiencies across the value chain and transform the multi-trillion energy industry in the backdrop of China’s policy commitment to achieving a carbon-neutral and environmentally friendly society. For more information, see http://www.newlink.com.