SHANGHAI, Nov 1 (Reuters) - China short-term rental firm Xiaozhu.com has raised $120 million in a funding round led by Jack Ma’s Yunfeng Capital, boosting the firm’s financial muscle as it looks to compete with local rival Tujia and U.S. giant Airbnb.
China’s largest house-sharing platform said in a statement on Wednesday that the fundraising meant it was now a “unicorn startup”, implying a valuation of over $1 billion. Airbnb was valued at $30 billion in a fundraising round last year.
Airbnb earlier this year denied a Chinese media report that it was in talks with Xiaozhu to work together in markets such as Japan and South Korea.
Xiaozhu, which is often described as Airbnb’s Chinese clone, has listings in over 400 locations globally and raised $65 million in its latest fundraising drive last November. (Reporting by Adam Jourdan; Editing by Stephen Coates)