Alibaba Invests In

Alibaba Invests In

Alibaba Group Holding Ltd. plans to purchase a huge deal of the Chinese food delivery start-up, as sources reveal to several media outlets.

Ford And Alibaba Reach An Agreement Over E-cars
The Chinese Bank to use Blockchain. Is it a competition with Alibaba?
Alibaba Has Smashed Its Singles Day Record Once Again

Alibaba Group Holding Ltd. plans to purchase a huge deal of the Chinese food delivery start-up Ele.meas sources reveal to several media outlets.
Rumors of Alibaba`s push to buy out the investments of Baidu Inc. and other investors supporting the start-up were first published in a report by Bloomberg Technology. The e-commerce giant Alibaba reportedly owns 23 percent of as of May with plans to buy stock from other existing investors, according to a private source who spoke to Bloomberg. However, these talks appear to be ongoing right now, so that`s unclear whether the deal will be successful and what would be the end sum paid by the company.
In case the deal is completed, Alibaba and Meituan will appear as key players on the Chinese food market. could possibly be Alibaba`s latest offer in the areas of e-commerce and offline retail. On the other hand, if the information is confirmed, Baidu would be exiting from a business sector considered peripheral to its main focus on artificial intelligence technology.
The acquisition could reportedly value at $9.5 billion, making the deal a significant one in the sector. Interestingly, this would assist Alibaba in competing with its rival Tencent, as Tech Crunch speculates. The two companies appear to be investing in businesses and start-ups that offer overlapping services. For this reason, it is worth watching which of the two giants will take the lead in the food delivery sector. In terms of ways to grow, Tencent seems to prefer investing whereas Alibaba is acquiring businesses that interest them. For example, they bought Weibo, Toudo and UC Web, as Tech Crunch points out.
It remains to be seen whether the news about Alibaba`s proposal to buy extra stakes in will be officially announced. For now, we might only follow on what happens in on the dynamic Chinese market.