Vietnamese internet major VNG Corp picks 38% in e-commerce platform Tiki for $17m

Vietnam-based Internet company VNG Corporation, known as Southeast Asia’s first announced unicorn, has reportedly invested approximately VND383 billion ($17 million) in e-commerce platform Tiki for a 38 per cent stake, according to reports in local media.

DEALSTREETASIA could not independently verify the deal. VNG Corp’s CEO Le Hong Minh did not respond when contacted.

It was reported to be VNG Corp’s largest investment in a business. The deal, which closed in January this year, values Tiki at around $45 million.

Meanwhile, a source familiar with the matter, had earlier told DEALSTREETASIA that VNG Corp had reached agreement to acquire 20 per cent of the e-commerce startup for some $10 million.

Tiki raised seed funding from Vietnamese early stage venture capital firm Seedcom and Japan’s Cyberagent Ventures before securing a series A investment from Sumitomo, another Japanese corporation. Cyberagent Ventures partially exited, to hold only 15 per cent, as Sumitomo took a 30 per cent stake in Tiki. It is unclear whether any other exits follow the VNG Corporation investment.

The deal marks a return of the gaming major into the e-commerce business, two years after the corporation shut down its Zing Deal and 123.vn portals and sold 123mua.vn to FPT-led Sendo.vn.

The e-commerce scene in Vietnam has seen a lot of players terminating operations such as Deca.vn and IDG Ventures-backed Project Lana. In addition, foreign companies have also exited by selling out to other international groups, including the sale of Lazada to Alibaba and Zalora to Central Group.

Also read:

Vietnamese unicorn VNG investing $10m in e-commerce platform Tiki, to hold 20% stake

Alibaba buys Rocket Internet-controlled Lazada for $1b, expands SEA footprint

Vietnam’s small e-commerce players are gearing up to face Alibaba’s big foray

Central Group, Vietnamese affiliate announce buyout of ZALORA ops in Thailand, Vietnam

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.