Lazada secures $249m funding led by Temasek

Lazada retail image from the website

Lazada Group, the Rocket Internet backed, e-commerce firm in Southeast Asia, has raised $249 million financing led by Singapore wealth fund Temasek Holdings, the company said.

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.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.