Didi Chuxing invested $200 million into RenRenChe

Didi Chuxing invested US$200 million into RenRenChe.com. Beijing-based ride-sharing giant invests into China's third-largest online used car trading platform as a strategic policy in the car business and allows ReRenChe to access Didi's large customer base.

Tinuku Didi Chuxing invested $200 million into RenRenChe

Renrenche on Monday announced it will use the funds to accelerate business expansion and hope to soon offer services through smartphone apps within Didi platform as part of the deal.

"More than 400 million passengers and 17 million drivers are expected to be added to our customer base. This will bring us excellence in resources," said co-founder and CEO of Renrenche, Li Jian.

Didi's investment is the latest sign that the company is entering the used car market in China. Some positive signals from the country's authorities have introduced measures to facilitate used car trade since last year.

ReReChen's main rivals such as Guazi.com as the largest shareholder in June have raised US$400 million while Youxin in second-place market share in January raised US$500 million led by TPG Growth, Jeneration Capital and China Vision Capital.

RenRenChe operates in over 80 cities in China and has more than 100,000 cars on their websites and apps. Previously the company had received funding from Tencent and Shunwei Capital supported by Xiaomi's Lei Jun and Beijing Prometheus Capital's Wang Sicong.