Top Chinese home-rental site Tujia’s valuation surpasses US$1.5bn after latest funding round
China’s leading home-rental site reports almost 400 per cent jump in bookings during Golden Week holiday
Tujia.com, China’s largest home-rental site and a competitor of Airbnb, said on Tuesday that it has raised US$300 million in its latest round of funding, pushing its valuation to more than US$1.5 billion.
The fundraising comes as the company rides on the wave of a growing number of Chinese travellers, fuelled by rising personal income. During the Golden Week holiday from October 1 to October 8, Tujia reported close to 400 per cent increase in bookings for flat rentals compared with the same period last year.
The latest funding in Tujia was led by Ctrip, China’s largest travel website, and Hong Kong-based All-Stars Investment.
Other investors include Huaxing Growth Capital set up by China Renaissance Group, G Street Capital China, and US-based Glade Brook Capital. China Renaissance acted as exclusive financial advisor on the deal.
Glade Brook, known for its early investments in Alibaba, Uber, and Snap, also invested in Airbnb last year in a fundraising round worth US$555 million.
The investments, the website’s first independent financing since the split of Tujia’s online and offline services, will be used to “optimise user experiences, improve non-standard accommodation services, and expand the products and services in overseas markets”, Luo Jun, CEO of Tujia, said in a statement.