Vietnamese e-commerce company Tiki has raised $146 million from global and Asian investors in the second tranche of its Series E round, show regulatory filings.
The latest capital infusion brings the firm’s Series E total to $240 million. Tiki could raise over $250 million to close the round, said a source close to the company. The funding would make Tiki a near unicorn.
Financial services group UBS AG invested around $40 million, while funds of the South Korean investment manager Mirae Asset invested around $27 million in the fundraising that was carried out by Tiki Global, the Singapore-domiciled holding company of the online marketplace.
Among the Mirae Asset funds, Mirae Asset-Naver Asia Growth Fund contributed nearly $20 million, according to the filing made by Tiki Global with Singapore’s Accounting and Corporate Regulatory Authority (ACRA).
Mirae Asset-Naver Asia Growth Fund is a joint vehicle by the Korean financial group Mirae Asset and internet company Naver. It had invested an undisclosed amount in VinaCapital Ventures, the venture capital arm of asset management firm VinaCapital, in 2019.
ACRA filings only reflect the equity funding received so far in a round and the overall funding round could be larger and/or have other components such as debt.
Tiki’s roster of new Series E investors (Tranche 2)
|UBS AG||$40 million|
|Mirae Asset funds||$27 million|
|STIC GIGF Limited||$20 million|
|Naga Global Opportunities Master Fund VCC||$8 million|
|Victory Year Global Limited||$8 million|
|Kho Hui Meng||$8 million|
|JH Harmonious Limited||$5 million|
|Fortune Concord Global Limited||$5 million|
|Sure Keen Limited||$5 million|
|Wealth Intelligence Limited||$5 million|
|Grand Fortune Capital (HK) Company Limited||$5 million|
|Odyssey One Pte Ltd||$5 million|
|Zhang Xiaoxia||$5 million|
Tiki declined to comment for this report.
Over 5.16 million preference shares were allotted to investors at $26.33 apiece, the ACRA data shows. The share price was the same as in the first Series E tranche in August, when Tiki had raised $94 million.
Naga Global Opportunities Master Fund VCC, which invested $8 million in the latest round, is understood to be an investment vehicle of the Singapore-based multi-family office Naga Capital Partners, while STIC is an existing investor.
The Series E round is understood to be still open to investors, and will be closed next month.
Tiki was valued at around $740 million in the first Series E tranche, based on the investment announcement by Taiwan Mobile, which said it injected $20 million for a 2.7% stake in the Vietnamese e-commerce business.
Another major investor in Tiki’s Series E funding is insurer AIA, which had pumped in $60 million in the first tranche, DealStreetAsia had reported. AIA Vietnam is Tiki’s exclusive insurance partner, providing life and health insurance solutions for Tiki users on its e-commerce platform, under a 10-year partnership.
AppWorks, a venture capital firm that invests in Taiwan and Southeast Asia, pumped in about $7.5 million in the first Series E tranche. Other investors in the round included CE Fintech Capital, which invested $5 million, while South Korean early-stage investor Nextrans put in $1.5 million.
Other names on Tiki’s cap table include Northstar Group, JD.com, Sumitomo Corporation, Korea Investment Partners, and EDB Investments.
Tiki group president and CFO Richard Trieu Pham had said at DealStreetAsia’s Asia PE-VC Summit last month that Tiki expected to close an upsized Series E investment as the round was oversubscribed.
He also stated that the company planned to list on a foreign stock exchange. “We are at the size where it makes sense for us to explore the opportunity to access the international capital markets,” Pham said at the event, indicating Tiki is likely to list in the US since its capital markets offer the most liquidity.
According to a source aware of the development, an initial public offering (IPO) for Tiki could take place next year or early 2023.
Tiki competes with Alibaba-owned Lazada as well as NYSE-listed Sea’s unit Shopee in Vietnam, where the e-commerce market was valued at around $12 billion in 2020.
According to a Google, Temasek, and Bain report, Vietnam reported a 46% year-on-year growth in e-commerce in 2020.
Editor’s note: Tiki raised an additional $10 million as part of the Series E round after this story was published. The story has been updated to reflect the fundraise.