Geely-backed Caocao Mobility, also known as Caocao Chuxing, is negotiating a new round of financing with investors and expects to break even within two years, Bloomberg reported on Monday. Gong Xin, CEO of the company, said in an interview that the new round of financing may be completed in the first half of 2022.
Gong said the company could make an initial public offering within the next five years, but he did not disclose the listing location.
Prior to this, the ride hailing company under Geely Group had just raised 3.8 billion yuan ($588 million) from state-owned funds including Suzhou Xiangcheng Financial Holding Group.
Gong added that the company’s orders in September doubled compared with the average of March and April. He said that Caocao Mobility is trying to ensure data security and avoid the leakage of passengers’ private information. “The data we collect is to enhance the user experience and ensure the safety of drivers and passengers.”
According to publicly disclosed information, Caocao Mobility was founded in May 2015 and currently provides online ride-hailing services in 62 cities across China.
On August 4 this year, Hangzhou Youxing Technology Co., Ltd., the main operator of Caocao Mobility, underwent a change to its industrial and commercial registration, adding Zhejiang Geely Holding Group. As a result, the firm’s registered capital increased from about 366 million yuan to about 433 million yuan. After the capital increase, Geely became its largest shareholder with a holding of 77.33%.