Alibaba puts another $1 billion into Lazada

Alibaba puts another $1 billion into Lazada

Alibaba Group says it will pump in about US$1 billion to boost its stake in Lazada Group to 83 percent, as it looks to expand its footprint across Southeast Asia.

In a statement today, Alibaba said the transaction demonstrated the continued success of Lazada's business and Alibaba's confidence in the growth potential of Southeast Asian markets and its commitment to the region as part of its global strategy.

It did not name the shareholders, but Germany's Rocket Internet and Sweden's Kinnevik in separate statements confirmed they were disposing their remaining Lazada stakes.

Besides financial support, Alibaba's investment has provided Lazada with several benefits, including access to a wider range of merchants and improving its logistics capabilities.

Alibaba plowed $1 billion into Lazada in April 2016 to take a controlling share.

"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", said Daniel Zhang, chief executive officer, Alibaba Group. The move was made up of $500 million in Lazada shares and purchased shares from other Lazada stakeholders, including Rocket Internet (the Frankfurt-listed incubator that invested in Lazada), Tesco, and Kinnevik.

The Alibaba-Lazada co-operation will also see Lazada eventually ship products to Chinese consumers, something that Bittner says is now under "test and trial", although he declined to reveal further details. The company is competing with well-funded rivals from MatahariMall to Sea Ltd., but Bittner said Lazada can count on Alibaba's expertise. That has allowed Lazada to invest further in the marketplace, technology, payments and logistics, enhancing its services and the customer experience. "We will continue to put our resources to work in Southeast Asia through Lazada to capture these growth opportunities", he added.

During the past 12 months, both Lazada and Alibaba worked to advance e-commerce in Southeast Asia, in initiatives to include the establishment of an e-fulfillment centre in Malaysia. Lazada now runs online storefronts for small regional merchants and global brands including Samsung Electronics and L'Oréal.

Related news:

Hot News

isis-killer-beheading-video-story-top Aadhar Must linked to Pan Card from July 1st, Government notify rules
Jun 28, 2017 - 22:41
In order to ease the process of linking PAN and Aadhaar, the IT department has announced the process on its e-filing portal. A total of 111 million people has aadhaar in the country, whereas only 25 crore people have PAN cards.

isis-killer-beheading-video-story-top Kidambi Srikanth's class acts lift up Indian badminton stock
Jun 28, 2017 - 22:29
Continuing his fine run, recently-crowned Indonesia Open champion Kidambi Srikanth on Friday defeated fellow Indian shuttler B. Last month this day, he was just another fighter jostling at World No 24, and only India's fourth best.

isis-killer-beheading-video-story-top Putin trusted more than Trump, US research center's survey says
Jun 28, 2017 - 22:25
We simply can not afford, they said, to have an American president that the rest of the world doesn't trust, respect, and admire. The Pew survey also found opposition to Trump's proposal to withdraw from the Iran nuclear deal , which he has yet to act on.

isis-killer-beheading-video-story-top Donald Trump's United Kingdom state visit has not been canceled, insists Boris Johnson
Jun 28, 2017 - 22:24
Trump reportedly later told the PM he would not go ahead with the visit if it was likely to cause widespread demonstrations. Johnson said: "That's because we haven't yet agreed a date with the White House".

isis-killer-beheading-video-story-top Qatar emir congratulates Saudi crown prince
Jun 28, 2017 - 22:23
That account has frequently criticised Mohammed bin Salman , suggesting his impulsiveness could be unsafe . Mohammed bin Nayef was once a towering figure credited with crushing al-Qaida's cells in Saudi Arabia .

isis-killer-beheading-video-story-top Future drops mansion party video for new song 'PIE' featuring Chris Brown
Jun 28, 2017 - 22:18
The actress agreed to attend the award ceremony nearly two months ago because she wanted to promote her new series on TNT. The troubled singer was first served with papers for the restraining order during his birthday party back in May.

isis-killer-beheading-video-story-top EU Slugs Google A Whoping $3.59 Billion Fine For Anti-Competitive Behaviour
Jun 28, 2017 - 22:15
When users type words like " online shopping ", for example, they would get top results that are directly affiliated with Google. Google denies the charge that it abused its position and has said it may appeal.

isis-killer-beheading-video-story-top S. Korea president invites N. Korea to Pyeongchang Olympics
Jun 28, 2017 - 22:07
Do stated that he intends to discuss possible ways to ensure North Korea's participation at Pyeongchang 2018 with the IOC. He also suggested that the two nations field a joint North-South Korea team in the women's ice hockey competition.

isis-killer-beheading-video-story-top Reality Winner's trial set for October
Jun 28, 2017 - 22:02
Prosecutors say she emailed a highly classified document to The Intercept , who in turn published the report online . She has been held without bond since her arrest June 3 when federal agents searched her Battle Row rental home.

isis-killer-beheading-video-story-top Donald Trump now wants 'solar wall' on Mexican border
Jun 28, 2017 - 21:59
Trump was quick to point out that he came up with the idea. "And that's good, right?" said Donald Trump . The statement adds: "In order to be effective, we must be able to move beyond finger-pointing".

isis-killer-beheading-video-story-top Salt-and-pepper Steve Carell jokes about achieving silver fox status
Jun 28, 2017 - 21:55
"You're a studmuffin", Fallon said, praising Carell and acknowledging the social media craze about Carell's gray hair. Continuing the charade, Carell looped his wife of 22 years, Nancy Carell, into the conversation.

US 'regrets' Russian decision to cancel talks
Jun 28, 2017 - 21:52
Russian Federation also said the new US sanctions continue the "destructive trend" set by Obama administration. Treasury Department announced additional sanctions on Russia and pro-Russian separatists in eastern Ukraine .

isis-killer-beheading-video-story-top Powersharing talks intensify as deadline nears
Jun 28, 2017 - 21:52
Kearney said the British government was "not a neutral bystander" in the talks. Sinn Fein's John O'Dowd said he was not sure whether a deal could be struck.

isis-killer-beheading-video-story-top 2nd City Official Resigns Over Clash With Texas Beauty Queen
Jun 28, 2017 - 21:48
Ponder alleged that Beane cut her off on the road and noted that he was teaching his 14-year-old daughter how to drive. An investigation commissioned by an East Texas city found no wrongdoing in the arrest of Miss Black Texas 2016.

isis-killer-beheading-video-story-top Arizona wildfire forces hundreds from homes
Jun 28, 2017 - 21:46
Also on Monday, a national fire prevention team landed in Salt Lake City to devise a statewide strategy going forward. No injuries or fatalities have been reported, a sign that people in the area are following evacuation notices.