26 – 100 in alphabetical order: Shaohui Chen, Meituan-Dianping
Shaohui Chen joined Meituan-Dianping, a China-based e-commerce platform that raised $4bn in October 2017’s series C round from a consortium led by Tencent, as vice-president of corporate development earlier in 2014 before his promotion to senior vice-president.
Previously, he had worked in corporate venturing and mergers and acquisitions at China-based media group Tencent for nearly four years after a three-year stint at two venture capital firms and then completing his MBA at Harvard.
With the $4bn raised from a syndicate led by China-based media group Tencent and US peer Priceline Group, as well as financial and government investors, Meituan-Dianping had plenty of funding to expand.
Effectively, Meituan-Dianping filed for an initial public offering in Hong Kong in August 2018 and it raised $4.2bn at a $48bn.
And to help its expansion, Meituan-Dianping launched an RMB3bn ($435m) corporate venturing fund in February 2017 with Chen as the fund’s CEO and Tencent and New Hope Group as limited partners.
The first phase of the fund aimed to raise RMB1.5bn from a consortium including Meituan-Dianping, Tencent and China-based food company New Hope Group to back companies operating in the food and beverage, retail, hotel, tourism, and entertainment sectors.
Other corporate venturing deals by Meituan-Dianping last year included a $1bn series H round for India-based online food delivery platform Swiggy in December, a $2.9m series B round for China-based cloud-based healthcare platform provider LinkedCare Information Technology in September, a $200m series D round for China-based online wholesale alcohol retailer Yijiupi also in September.
Chen’s colleague Wenqian Zhu had originally taken a 20% stake in Dianping in February 2014 while at Tencent. He then helped the restaurant-review and group-buying services provider Dianping’s $850m round in March 2015 at a $4.05bn valuation from a consortium including Tencent.
In October 2015, Dianping then merged with peer Meituan, which in January that year had raised $700m at a $7bn valuation from a syndicate led by Alibaba. With Tencent leading the post-merger C round, Alibaba has seemingly turned its attention elsewhere and invested in a separate group of on-demand service providers, including food delivery platforms Ele.me and Koubei and ticketing service Tao Piao.
Martin Lau, president of Tencent, at the time of its C round, said: “We are glad to continue providing Meituan-Dianping with both strategic and financial support as it fulfils its vision of transforming China’s food and lifestyle services industry. The company is executing smoothly and at scale across multiple categories, is providing convenience and value to consumers, and is contributing to a healthy and diversified China internet ecosystem.”
Meituan-Dianping’s market share is impressive. With 86% market share for in-store dining and 61% market share for on-demand delivery in 2017, it launched Meituan Travel that took more than a third of the hotel reservation market in its first year and launched Co-Line Marketing, an integrated online and offline programmatic marketing platform with geo-localised consumer profiles to help merchants reach their target customer and entered new verticals, including new retail and bed and breakfast (B&B) accommodation. In 2018, during its IPO process, Meituan said it was slightly ahead of online travel agency Ctrip in domestic room nights booked – with 33.6% market share for the former and 33% for the latter.
Meituan-Dianping now has 380 million users and serves as a platform for about 5.5 million active businesses, according to the firm’s latest earnings report in September, adding it had moved to compete with Alibaba and Tencent-backed peer JD.com in offline and artificial intelligence, as well as ride-hailing services such as Didi Chuxing.
