Ele.me Merges With Baidu Deliveries To Consolidate Food Delivery Unit

(RTTNews) - Ele.me, an online food delivery service and local services platform in China, in which Alibaba Group (BABA) is a key shareholder, announced its merger with Baidu Deliveries, the food delivery arm of internet search firm Baidu Inc. (BIDU). Both Alibaba and Baidu will provide the Ele.me and Baidu Deliveries platforms with support in technology, customer acquisition, and food safety. In addition, Alibaba has committed additional capital to support Ele.me's aggressive growth strategies.

Baidu Deliveries will continue to operate as an independent brand while retaining its existing management team. Baidu Deliveries, in three years of operation, has managed to reach 300 cities, connecting one million merchants with over 100 million users.

The partnership brings together respective strengths of the two platforms to provide users with an even higher level of service, raising the bar for the entire food delivery industry. As part of the deal, Ele.me will contribute data and resources to improve the experience of Baidu Deliveries users.