According to Reuters, Boyu Capital, Hillhouse Capital Group, and Sequoia Capital China have invested US $2.5 billion in Indonesian courier company J&T Express.
Tencent, a Chinese internet and gaming giant, and SIG China, a venture capital firm, have also joined.
The funding raises the unicorn’s worth to $20 billion, second only to GoTo, Indonesia’s most valuable firm.
The funds raised will be used to aid J&T Express’s growth plans in China and Latin America. According to a Reuters source, J&T is also looking to raise $1 billion through a Hong Kong stock market offering as early as Q1 2022.
J&T Express, founded in 2015 by ex-Oppo executives Jet Lee and Tony Chen, specialises in the transportation of products through land, sea, and air. In Singapore and Indonesia, the company possesses automated sorting warehouse networks.
J&T has expanded into Singapore, Vietnam, Malaysia, the Philippines, Thailand, Cambodia, and China, in addition to Indonesia, since its foundation. Foreign markets are claimed to account for 70% of J&T’s revenue.
J&T has seen robust growth across all areas, fueled by the pandemic-fueled surge in the e-commerce industry. The firm currently sends roughly 2.5 million packages every day in Indonesia, up 40% from pre-pandemic levels.
J&T also operates as a delivery partner for businesses including Bukalapak, Tokopedia, and Shopee, which account for two-thirds of the archipelago’s service orders.
Last month, the company paid $1 billion for the logistics division of its Chinese competitor Best.