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Bloomberg
Huochebang and Yunmanman, the two biggest apps for
Uber-like truck services in China, are in talks to merge, people familiar with the matter said.
Wang Gang, a backer of Yunmanman and an angel investor in ride-hailing giant Didi Chuxing, is the top candidate to become chief executive officer if the companies merge, the people said, asking not to be identified because
the information is private. Huochebang would have a higher valuation than its rival in the combined company, they said.
Trucking, an estimated $753 billion industry in China, is one of the few sectors in the country that has yet to see a dominant player emerge. Yunmanman and Huochebang have had a frosty relationship in the past, with the companies trading accusations about harassment that have prompted police investigations. Yunmanman said it is “false information†to say the companies are merging. Jarry Yan, a spokesman for Huochebang, declined to comment.
A merger would be the latest example of Chinese tech startups getting together, after waging a costly battle of attrition, to dominate a greenfield industry. Didi Chuxing was formed after local rivals got together and the company ultimately ousted Uber from China. Investors in Mobike and Ofo, leaders in the nascent bike-sharing sector, are also said to be considering teaming up to achieve sufficient scale to kill off a raft of smaller rivals.
The companies have backing from investors and use technology to match drivers to cargoes via their smartphones, as well as sell truckers toll cards, gasoline, tires and second-hand vehicles.