Hangzhou, 28th June: Earlier this week, China’s largest e-commerce company, Alibaba Group, announced it will invest approximately US$1 billion in the Lazada Group. The move will serve to increase its stake from the current position of 51% up to 83%.
The transaction values Lazada at approximately US$3.15 billion. Alibaba acquired its initial stake in Lazada in April 2016. After this recent transaction, Alibaba will have invested in total more than US$2 billion in the company.
Lazada offers an online sales platform and marketing solution for brands taping into the Southeast Asian market. Lazada operates in Indonesia, Malaysia, the Philippines, Singapore, Thailand and Vietnam.
Daniel Zhang, CEO of Alibaba Group, commented, “As a market leader, Lazada has demonstrated its ability to execute and further lead the region in products and services with the best consumer experience in Southeast Asia while growing a strong ecosystem that supports small businesses going online. The e-commerce markets in the region are still relatively untapped, and we see a very positive upward trajectory ahead of us. We will continue to put our resources to work in Southeast Asia through Lazada to capture these growth opportunities.”
Source: Alizila article