Photo credit: Lazada
Lazada has received a US$353 million injection from parent firm Alibaba, according to VentureCap Insights, which tracks regulatory filings in Singapore.
Tech in Asia has reached out to Lazada to learn more.
The move comes after Alibaba announced plans to break up its operations into separate business units.
This will involve Lazada falling under the ecommerce giant’s Global Digital Business Group, which also includes AliExpress, Trendyol, and Daraz. Before the move, Alibaba had already poured US$1.6 billion into Lazada throughout last year.
Analysts responded well to the news, expecting more autonomy, more opportunities for outside funding, and a potential separate IPO to be born out of the move.
The development also follows Alibaba noting in its earnings release for its latest quarter that one of Lazada’s major competitors, Shopee, saw a boost in orders and monetization rate while narrowing losses per order. Alibaba as a whole recorded US$6.6 billion for the last quarter of 2022, a 138% year-on-year improvement.
See also: Why Alibaba should spin off Lazada
Note: Companies may raise debt, which isn’t reflected in regulatory filings unless it is converted to equity. As such, financial data from filings may not reflect the full picture.
Editing by Lorenzo Kyle Subido
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