The cooperation between these two leaders at different ends of the chain is a concrete example of how digital technology can strengthen the traditional restaurant industry.
Food supply chain SaaS company Guanmai Tech (Chinese: 观麦科技) announced the completion of a Hualala (Chinese: 哗啦啦)-led Series C funding round of hundreds of millions of CNY. Moreover, Hualala invested nearly 200 million CNY (30.52 million USD) to acquire the former equity of Guanmai and became the new shareholder of Guanmai Tech.
The money will mainly be used to improve technology and build service teams across China, said Yang Wei, president of Guamai Tech.
Guanmai Tech was founded in 2014, and its business covers fresh produce distribution, central kitchen system and food safety traceability. Guanmai Tech is focused on providing digital transformation solutions for businesses in agricultural distribution field and helping traditional distribution businesses to transform and modernize.
Founded in 2009, restaurant SaaS provider Hualala is focused on providing end-to-end process solutions for restaurants, from front-end cashier to back-end supply chain. At present, Hualala has served more than 400,000 restaurant merchants, and the total annual transactions of these merchants exceeds CNY 700 billion ($104 billion).
Tudin, CEO of Hualala, said Hualala’s vision is to become a promoter of China’s food and beverage industrialization and an infrastructure platform builder. Guanmai Tech has been in the B2B ingredient delivery business for many years and has accumulated a large number of business customers in the ingredient supply chain. Therefore, this strategic cooperation between the two parties can shorten the transaction path between upstream ingredient suppliers and terminal catering enterprises, thus realizing an effective link between catering supply and demand.