Rocket’s Zalora adds US$112mil to expansion fund
By Digital News Asia December 5, 2013
- Fresh capital from Access Industries, Scopia Capital Management LLC and other institutional investors
- Funds to be used to secure and expand SEA and Australia foothold
ROCKET Internet’s Zalora has secured US$112 million in funding, touted to be the single investment ever made into a South-East Asian online fashion retailer.
The fresh capital comes from privately held investor group Access Industries in addition to funds managed by US-based asset management firm Scopia Capital Management LLC and other institutional investors.
“Zalora’s experienced management team has put the company on a path to become a premier online fashion destination. We are pleased to be part of this dynamic success story,” said Jörg Mohaupt, Zalora Board Member from Access Industries.
The announcement marks the second round of funding the company has secured this year, with a US$100 million capital injection secured in May.
The new capital will be channelled toward the company’s efforts to scale up operations and gain an even stronger foothold throughout South-East Asia and Australia, serving 600 million potential online shopping customers in the region.
According to Zalora, this new round of funding signals investors’ strong confidence in the online retailer after a period of ongoing accelerated growth.
Commenting on the investment, Michele Ferrario, managing director of the Zalora Group said the investment allows the company to build out its position in the region further.
“We are focused on offering the best possible customer experience paired with a unique product offering of local and international brands. We will use this new investment to improve our position as the high-street fashion authority in South-Eeast Asia. We will grow our assortment and further enhance the portfolio of our private labels,” he added.
Also part of the Zalora Group is, which claims to be Australia’s number one online fashion retailer.
Patrick Schmidt, The Iconic’s chief executive officer said that the company is approaching one million orders being shipped in the country.
“This is thanks to a fantastic local and international brand assortment and premium services, such as three hour delivery in Sydney. This investment will allow us to continue to build the one-stop online shopping destination for fashion, footwear and beyond through a singular focus on customer satisfaction,“ he added.
Since its inception in 2012, Zalora has grown to be one of Southeast Asia’s largest online fashion and beauty retailers, offering more than 130,000 products and over 500 international brands.
It recently launched its first private brand Ezra and is focused on extending its assortment to offer the broadest variety of fashion and beauty items possible.
The company currently operates in eight countries and boasts a huge selection of top international fashion & beauty brands, which were previously only available in capital cities.