Recently, market whispers have been circulating that Alibaba is set to acquire Fuzhou Pupu E-Commerce Co., Ltd., China's prominent fresh food delivery platform, for a staggering US$1.5 billion (equivalent to roughly HK$11.8 billion). This proposed bid surpasses by more than double the previous offer made by Gaoxin Retail, potentially igniting a fierce bidding contest.

In light of these rumors, Sina Technology reached out to Alibaba's official representatives for confirmation. However, as of the time this article went to press, no official response had been forthcoming from Alibaba.

Established in 2016 in Fuzhou, Fujian Province, Pupu Supermarket has built its business model around the core concept of "front-end warehouses coupled with pure online operations." This approach enables it to provide customers with a comprehensive one-stop shopping experience for fresh food, daily essentials, and a variety of other products, all complemented by swift 30-minute delivery services. Its operational focus is primarily in South China, encompassing nine key cities such as Fuzhou, Xiamen, Guangzhou, and Shenzhen.

In 2024, Pupu Supermarket achieved full-year profitability, boasting revenues of approximately RMB 30 billion. It maintained a healthy gross profit margin of 22.5% and effectively managed its fulfillment expense ratio, keeping it within 17.5%. Prior to this, Pupu Supermarket had successfully completed multiple rounds of financing and established a red-chip structure in anticipation of a potential Hong Kong listing.

Should Alibaba's acquisition bid prove successful, it would significantly bolster the company's instant retail capabilities, facilitate its entry into the South China market, and provide crucial support for its ambitious goal of achieving a trillion-dollar instant retail business.