The Chinese tech giant Tencent has continued its long-running investing spree by increasing its stake in the popular Chinese on-demand grocery app Xingsheng Youxuan. The company has poured an extra $100 million into Xingsheng Youxuan in a deal that values the grocery app at $5 billion, Bloomberg reports.

Tencent’s $100 million investment comes just a month after another Chinese tech giant, the e-commerce company JD.com, invested $700 million in Xingsheng Youxuan and secured a strategic partnership with it.

Even with the big investments from JD and now Tencent, Xingsheng is in talks to raise even more, Bloomberg reports.

Xingsheng Youxuan is a popular group-buying grocery app that serves 13 provinces in China. The company is well-funded and has previously secured funding from investors including KKR, Sequoia Capital, Temasek, and Primavera Capital Group.

Tencent is apparently doubling down with its fresh $100 million investment in Xingsheng. The company last year joined a $300 million funding round for Xingsheng that valued it at $3 billion. Now, that valuation has shot to $5 billion with a funding round from the same Tencent.

Photo: Tencent CEO Ma Huateng, credit; fortuneglobalforum is licensed under CC BY-NC-ND 2.0

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