Its existing investors, including Rocket Internet, Verlinvest and Swedish investment firm Kinnevik, also joined the round.The company with operations in Indonesia, Malaysia, Singapore, Thailand, Vietnam and the Philippines was valued at $1.25 billion.
“The e-commerce market in Southeast Asia is still in its early days and we will continue to invest in our operations to enhance our customer experience,” Lazada CEO Maximilian Bittner said in a statement.
Lazanda, often referred to an the region-based ‘Amazon clone’, had revenues to the tune of $59 million for the first half of 2014. It had a negative earnings before interest, taxes, depreciation and amortization (EBITDA) of $50 million. and 1.4 million active customers during the same period.
It has raised over $700 million in funding, over the last three years. In its previous round in December 2013, Lazanda had secured $250 million from British grocery chain Tesco PLC, billionaire Len Blavatnik’s Access Industries, Kinnevik and Verlinvest.
The company will use the proceeds from the latest round (of funding) to enhance its logistics infrastructure, payment solutions and IT systems; this will help enhance the shopping experience for its customers.
The e-commerce space in the region has witnessed a slew of deals. In October. The Indian online retailer Snapdeal raised $627 million led by Japanese telecom and media group Softbank. In the same month, Indonesia’s leading e-commerce marketplace, PT Tokopedia, had bagged a $100 million in funding from SoftBank Corp and Sequoia Capital, marking the largest ever investment received by an Indonesian startup.
Rocket Internet that had listed on the Frankfurt stock in October also invested $19 million in Lazanda’s latest round; but its stake in the e-commerce company has reduced to 23.8% from 26.7%, earlier. This also comes within days of Rocket group’s $150 million investment in African e-commerce player Jumia.