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Reuters reveals Alibaba merging China food delivery units to counter Tencent-backed Meituan

Reuters reveals Alibaba merging China food delivery units to counter Tencent-backed Meituan

Reuters reported exclusively that Alibaba Group plans to merge its food delivery units and raise funds for the combined business, intensifying a battle with Tencent-backed Meituan Dianping for dominance of China’s booming on-demand services market. The Alibaba units to be merged include food delivery platform Ele.me and food and lifestyle services firm Koubei. Alibaba is looking to raise between $3 billion and $5 billion for the combined entity, Reuters sources said.