We heard rumors about J.P. Morgan wanting to invest up to $50 million in Rocket’s e-commerce Lazada.
It’s official now. The press release doesn’t reveal much detail about the investment, but you can read it in full below:
LAZADA, the leading online department store in Southeast Asia, has confirmed an investment by J.P. Morgan Asset Management, which will take a stake in LAZADA through its German holding.
Following its parallel launch in five Southeast Asian countries during the spring of 2012, LAZADA has become the fastest growing online department store in the region. Since then, LAZADA has surpassed most established local and international competitors and according to web ranking site Alexa.com it is already ranking among the top local B2C eCommerce sites in all of its markets. This growth is a testament to the huge potential of this region with a population of more than 600 million people and a growing young middle-class which are embracing new online experiences – ranging from eCommerce to social media – at an ever increasing pace through their mobile phones or other connected devices.
With the support of Rocket Internet, the leading global online venture incubator (e.g. Zalando, Dafiti), LAZADA has already established itself as a household name in the region by providing a one-stop shopping experience online. With an unrivalled brand and product selection available online, LAZADA has developed a wide offering ranging from consumer electronics to household goods, toys and sports equipment. Today, approximately 1,000 employees are operating streamlined businesses with own logistics and distribution centers in Indonesia, Vietnam, Philippines, Thailand and Malaysia.
“We feel very honoured to welcome J.P. Morgan to our investor group and are particularly excited to be joined by an investor that shares our vision and belief in the huge potential of this populous region replicating online shopping behaviours in developed countries”, regional CEO Maximilian Bittner commented. “This will further support our growth as we strive to offer all of our customers fast, convenient and secure online shopping experiences”.
J.P. Morgan Asset Management Portfolio Manager Robert Cousin, who worked on the deal from New York, confirmed the transaction, saying, “We are excited to partner with LAZADA as it continues to expand its eCommerce presence in Southeast Asia.