Investors are betting on the automation of human resources management in China. We reported last year that Moka, one of the key players in the space, secured roughly $27 million for its Series B led by Hillhouse Capital. This week, the startup announced closing a Series B+ at over 100 million yuan ($14.4 million), lifting its total raise for the B round to 300 million yuan ($43.2 million).
The startup declined to disclose its investors in the latest round, saying the proceeds will go toward recruitment, product innovation and business expansion. GGV Capital invested in its Series A round.
Chinese investors have in recent years shifted more attention to enterprise-facing products as the consumer tech market becomes crammed. Moka makes software to aid HR managers' day-to-day operations, from posting job openings, discovering potential candidates, to managing current staff. For instance, Moka will alert the HR manager when employees update their resumes, a sign that they could be sniffing out new opportunities.
Moka's newly appointed CEO Li Guoxing, a former engineer at Facebook. (Image Credits: Moka)
As the new round closed, Moka also appointed its co-founder Li Guoxing as its new chief executive officer. The five-year-old Beijing-based startup was founded by Li, a Facebook veteran, and Zhao Oulun, who was previously the CEO of the company. Zhao worked at the car-sharing service Turo in San Francisco before returning to China.
The new CEO claimed that Moka acquires users at two-thirds of the industry average cost, with subscription renewal rate for its software as a service hovering above 100%. "The future of business competition definitely lies in the fight for talent," he said. "So hiring will surely become a company strategy in the future."
As of June, Moka had accumulated over 700 paid clients, from tech giants like Xiaomi, Didi, Arm China, Shopee and Alibaba, to fast-food giants Burger King and McDonald's. Its team of 300 staff operates out of five major cities in China.