DTC's Daily Digest gives you the latest news on the fastest growing brands in the world. In today's release: DTC Holding Company is targeting new household goods; Grab plans the third installment of the accelerator program, and is considering a separate fundraising tour for GrabWheels; the cycling start of Ofo has no assets.
DTC Holding Company is targeting new household goods
Resident, a holding group formed in late May by a select group of DTC individual brands, is exploring the benefits of collective bargaining in the household goods sector. The company's brand name is Nectar Sleep, DreamCloud, Awara and Level Sleep, all formed by its founders, along with the Wovenly carpet brand. After that, the company launched a furniture line, Bundle.
The new group reflects the launch of similar holding companies in the fashion sector such as Assembled Brands, Resonance and Digital Brands Group. These groups are designed to have DTCs within their group with higher working capital and greater access to e-commerce supply chains.
"The brand house approach has a long-term power: from five to ten years, every brand that will be embedded in the minds of consumers in terms of what they represent," says Eric Hutchinson, co-founder of Nectar Sleep and Resident. This creates clarity. "
Grab plans for the third installment of the accelerator program, and is looking for a separate fundraising tour for GrabWheels
Grab-colossus Grab has announced plans for the third installment of the Grab Ventures Velocity (GVV), which is expected to be launched later this year or early 2020. While no funding companies have been announced, it is expected to operate All in a similar location, after funding a series of companies operating in the value chain during the second installment of GVV.
Comments from Chris Yue, president of Grab Ventures, indicate that the third-party financing companies will be consistent with their core business: "We are already thinking about Group C, but we did not specify the time […] We have not yet identified the idea, but we want to empower the entrepreneurs associated with our core business. "
At the same time, it is rumored that the pod plans a separate funding round for its GrabWheels electronic scooter department. Although the company has proved to be a skilled fund-raiser, there are questions about investors wanting to make other rounds, especially as it has just announced plans to allocate an additional $ 2 billion (£ 1.59 billion) to its main business, after 4.5 ($ 3.57 billion) earlier this year.
Starting Cycling Ofo "Has No Origins"
The China Bicycle Association, founded in 2015, worth more than 2.2 billion US dollars (£ 1.75 billion), "has no assets," according to the China Securities Journal. In addition to the lack of funds within banks, the company has no assets or alternative investment assets, which means that they can not repay their creditors. This includes 12 million users with deposits totaling about $ 170 million (£ 134.9 million), along with supplier Tianjin Fuji Ta Bei, who took UFO to court earlier in the week in an attempt to recover $ 36 million (£ 28.6 million) .
All questions about the profitability of the company's business model, the slowdown in the Chinese economy and the reluctance of investors have impeded emerging companies collectively, with warnings about the company's firmness early in 2017. However, offers worth $ 1.4 billion (£ 1.11) ) From $ 1 billion to $ 1.5 billion (£ 1.19 billion) introduced last year, although it declined.
Ofo has refused to comment publicly on the news.