Aqara 155M Raised in Capital China Telecom DealStreetAsia

Aqara, a Chinese-tech startup, announced on the 10th of March 2021 that it had successfully raised US$155 million in a capital from leading Chinese telecommunications firm, China Telecom. According to DealStreetAsia, the funds will be used to strengthen Aqara’s foothold in the smart home and internet of things sector in Shenzhen, as well as to expand its current product range. The round of investment was led by China Telecom along with other major investors including Jingbao Capital, Sun Tong and K2VC, which had previously invested in Aqara’s previous rounds. The deal was facilitated by DealStreetAsia’s innovative platform.

Overview of Aqara

Aqara is an up-and-coming Chinese technology company based in Shenzhen. Founded in 2017, Aqara specializes in the development of Smart Home and Internet of Things (IoT) products. The startup is known for producing items such as WiFi and ZigBee switches, sensor kits, air quality monitors, multi-purpose hubs, light controllers, and camera products. Aqara began to experience immense growth after their successful A-round funding which saw strong investments from Horizon Capital, Shanghai Jingbao Capital and the K2VC Tianqi Intellique Fund in 2018.

Funding History of Aqara

Since its founding in 2017, Aqara has been able to raise a total of US$375 million across 5 funding rounds. In addition to the US$155 million round, the startup has previously raised funds from various venture capitalists and venture capital firms, notably from K2VC, Duo Capital and Horizon Capital in 2018. The success of the company has attracted attention from many major investors, hence the large investment for their current round.

Participants in the Capital Round

The US$155 million round was coordinated by China Telecommunications Corporation, a major Chinese telecommunications company. The round was also backed by China Telecom’s venture capitalists partners, including K2VC, Duo Capital and other investors such as Sun Tong and Jingbao Capital, with the latter having previously contributed to Aqara’s initial funding round in 2018. According to DealStreetAsia, the huge capital injection will enable Aqara to improve its competitive foothold in the smart home and IoT sectors in Shenzhen.

How DealStreetAsia Facilitated the Deal

DealStreetAsia is a business intelligence and financial data firm specialising in growth-stage venture capital and private equity deals in Asia. The firm’s rich database of profiles on founders, venture capitalists, investment companies and start-ups provided Aqara the ample resources needed to secure funding from one of the largest telecom providers in China. Through its platform, DealStreetAsia also helped facilitate the negotiations for the investment agreement.

Benefits to Aqara

The US$155 million capital from China Telecom and its venture partners will help accelerate the Chinese tech startup’s expansion. The huge sum of funding will be used to strengthen Aqara’s foothold in the connected home and IoT sector in Shenzhen. In addition, the influx of capital can also fortify the production of the startup’s hardware products, allowing them to create better, more advanced products at a larger scale.

Impact of DealStreetAsia on the Tech Sector

DealStreetAsia is an invaluable asset to the tech startup sector in Asia. Its networking platform and financial database allows startups like Aqara to identify potential investors and negotiate business deals. Furthermore, by hosting informative and relevant content relating to the different aspects of the tech industry, DealStreetAsia’s platform also helps founders to stay updated with the current happenings in the sector. DealStreetAsia is indeed a great asset for companies looking to secure VC investments for their projects.

conclusion

Aqara 155m Shenzhen is an impressive showcase of Chinese telecommunications technology. The venture marks a significant step forward in Chinese telecommunications, and signals a larger commitment to developing countries in the Asia-Pacific. This new telecom center is expected to provide much needed internet infrastructure to over 3 million people in the city of Shenzhen. By investing in projects like Aqara 155m Shenzhen, China Telecom is demonstrating its dedication to providing world class telecommunication services to China and abroad.