Southeast Asia’s Internet Retailer Lazada has secured USD 250 million led by Singapore’s investment firm Temasek Holdings with participation from existing investors such as Rocket Internet, Kinnevik and Verlinvest. The latest round brings the total capital of the company to date is USD 685.1 million, at a valuation of USD 1.25 billion. Last year,Lazada had received USD 250M in series E, USD 100M in series D and USD 20M in series C funding.
As per a TechinAsia report, the raised funds will be used to enhance the shopping experience, expand its logistics infrastructure, payment solutions, and IT systems across the six countries in which it operates – Indonesia, Malaysia, the Philippines, Singapore, Thailand, and Vietnam.
Founded in 2012, Lazada is known for selling electronics, apparel, cosmetics, books and much more. Like Amazon, the company also offers free shipping on many items, free returns and more.
Temasek had also invested in India’s Snapdeal and China’s JD in May and August respectively. Last week, another Rocket-Internet backed e-commerce company Jumia had raised USD 150 million at valuation of USD 555 million. One month back, Rocket Internet was listed on Germany’s Frankfurt stock exchange, and has consolidated its five emerging market e-commerce businesses, including Jabong and Lazada, into one mega-organization, called the Global Fashion Group (GFG).
Off late in India, a lot of talks are going around Amazon and Rocket Internet. Amazon has been in the media from over a month and is reportedly acquiring Rocket Internet backed Jabong in a deal amount worth USD 1-1.2 Billion. Jabong is a part of Rocket Internet’s Big Foot Retail (Family of Jabong, Dafiti, Lamoda, Namshi and Zalora). Rocket Internet is actively focusing on its rising e-commerce businesses across the globe, and the fate of each of these businesses are inter-linked since they are a part of one group or the other. No clarity has yet been given on how will Jabong’s acquisition by Amazon will get affected because of this structuring of global retail businesses.