Haoqipei, a Chinese auto parts trading platform, said on Thursday night that it had completed its $60 million Series D funding.
Access Technology Ventures led the round, along with existing investors DCM Ventures, Susquehanna International Group, XVC and Jeneration Capital.
Proceeds will be used to enhance the company's self-owned storage and logistics services. Access Technology Ventures’s general partner Zhiwei Yang will now join Haoqipei’s board of directors.
“Haoqipei will also use the money to prepare for overseas expansion,” said its chief executive Chen Xi. “The company will speed up to cover more areas in China.”
Car sales in China have slowed down since the beginning of the year. Sales in April dropped almost to their lowest level in five years. And as ride-hailing services boom, demand for vehicles has been affected.
At the same time, more technology means that people have started to have high expectations from in-car entertainment and communications systems, as well as driving assistance systems and other high-tech equipment, according to a Deloitte report. People would rather add more components to their old car, instead of buying a new one.
This has created a niche for the upstream auto parts retailer and Chen expects Haoqipei to cut a share of the $180 billion Chinese automotive after-sales market. It provides a Software-as-a-Service platform for auto parts transactions and matches motor repair garages with auto parts retailers.
“Haoqipei has developed into the go-to place for auto parts, covering the full lifecycle of the transaction, including marketplace, warehousing, and logistics,” said XVC partner Boyu Hu. “Haoqipei’s business model development continues to lead the industry and create competitive advantages.”
Haoqipei is expanding rapidly. The platform started to build its own storage and logistics services in October last year. Then it covered 20 cities in China. Eight months later, Haoqipei now covers more than 100 cities in the country.
To date, the startup has raised $150 million from investors. It completed its $60 million Series C funding in January this year, and an undisclosed amount of Series B in October last year.