Alibaba Group on Monday said it would acquire all of the outstanding shares that it does not already own in Ele.me, a leading online delivery service in China, to deepen the platform’s integration into Alibaba’s ecosystem and further expand the technology company’s New Retail strategy for local services. The transaction implies an enterprise value of $9.5 billion for Ele.me.

Alibaba and its affiliate, Ant Small and Micro Financial Services Group, currently own roughly 43% of Ele.me, according to a statement. The companies had invested $1.25 billion in Ele.me in 2016.

Alibaba Group Chief Executive Officer Daniel Zhang noted Ele.me’s leading market share in online food delivery and local services. “Looking forward, Ele.me can leverage Alibaba’s infrastructure in commerce and find new synergies with Alibaba’s diverse businesses to add further momentum to the New Retail Initiative,” he said.

New Retail, a termed coined by Alibaba founder Jack Ma…