{"id":1549541,"date":"2022-07-12T05:19:40","date_gmt":"2022-07-12T09:19:40","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1549541"},"modified":"2022-07-12T05:19:48","modified_gmt":"2022-07-12T09:19:48","slug":"exclusive-alibabas-freshippo-seeks-funds-at-much-lowered-6-billion-valuation-sources","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/exclusive-alibabas-freshippo-seeks-funds-at-much-lowered-6-billion-valuation-sources\/","title":{"rendered":"Exclusive: Alibaba\u2019s Freshippo seeks funds at much lowered $6 billion valuation \u2013 sources"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">26<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fexclusive-alibabas-freshippo-seeks-funds-at-much-lowered-6-billion-valuation-sources%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1549541&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p>By Kane Wu<\/p>\n<p>HONG KONG (Reuters) \u2013     Alibaba\u2019s supermarket chain Freshippo is seeking to raise funds at a valuation of about $6 billion, much lower than a hoped-for valuation of up to $10 billion earlier this year, three people familiar with the matter told Reuters.<\/p>\n<p>The company had to cut its valuation expectations after China\u2019s COVID-19 restrictions, in particular a draconian lockdown in the economic hub of Shanghai, badly dented business, they said.<\/p>\n<p>Investors are also sceptical about whether loss-making Freshippo can keep growing and turn a profit anytime soon given the company\u2019s bleak outlook as the world\u2019s second-largest economy continues to pursue a strict policy of stamping out COVID-19 cases, said two of the people.<\/p>\n<p>The supermarket chain, known as Hema in Chinese, is aiming to raise $400 million to $500 million from outside investors, two of the sources said. <\/p>\n<p>The fundraising is far from being finalised and financial terms could change, cautioned two of the people and a separate fourth source with knowledge of the matter. All of the sources declined to be identified as the information was confidential.<\/p>\n<p>The fourth source said Freshippo would welcome good investors to help it grow but added it had a healthy cash flow and was under no immediate pressure to raise fresh funds.<\/p>\n<p>Alibaba and Freshippo did not reply to Reuters requests for comment. <\/p>\n<p>Freshippo\u2019s lowered ambitions for its first independent private fundraising round come amid a drop-off in investor interest globally in tech ventures that have yet to turn a profit. <\/p>\n<p>Highlighting tumbling valuations globally, Swedish payments firm Klarna Bank AB said on Monday it had raised $800 million of funds at a valuation of $6.7 billion, down around 85% from the $46 billion valuation it attracted last year.<\/p>\n<p>Private fundraising in China has also slowed since last year due to a sweeping regulatory crackdown on the tech, tutoring, gaming and other sectors.<\/p>\n<p>Despite signs that Chinese regulators could be easing up on regulatory crackdowns, dealmakers don\u2019t expect to see any immediate investment surge in the country given a downbeat outlook for the economy.<\/p>\n<p>Founded in 2015 and wholly owned by e-commerce behemoth Alibaba, Freshippo has 300 stores in 27 cities that provide grocery delivery services, according to its website. <\/p>\n<p>Shanghai is its biggest market with 73 stores. Although residents in Shanghai relied heavily on delivery services during the city\u2019s two-month lockdown this year, grocers like Freshippo struggled to meet demand due to COVID-19 restrictions and disruptions to the country\u2019s supply chain.<\/p>\n<p> (Reporting by Kane Wu; Editing by Sumeet Chatterjee and Edwina Gibbs)<\/p>\n<p><a href=\"https:\/\/www.oann.com\/exclusive-alibabas-freshippo-seeks\/file-photo-customers-wearing-masks-shop-at-the-alibabas-hema\/\"><img decoding=\"async\" src=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-content\/uploads\/2022\/07\/tagreuters.com2022binary_LYNXMPEI6B0AQ-VIEWIMAGE.jpg\" alt=\"tagreuters.com2022binary_LYNXMPEI6B0AQ-VIEWIMAGE\" \/><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>By Kane Wu HONG KONG (Reuters) \u2013 Alibaba\u2019s supermarket chain Freshippo is seeking to raise funds at a valuation of about $6 billion, much lower than a hoped-for valuation of<\/p>\n","protected":false},"author":66,"featured_media":2315279,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"","fifu_image_alt":"","footnotes":""},"categories":[],"tags":[],"class_list":["post-1549541","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry"],"_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1549541","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/66"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1549541"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1549541\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2315279"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1549541"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1549541"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1549541"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}