Lazada inks partnership with Tesco and Access

MANILA, Philippines - Southeast Asia’s largest online shopping mall Lazada, recently announced its global partnership with Tesco PLC, Access Industries, Investment AB Kinnevik and Verlinvest which includes an investment of $250 million to its financial portfolio.

The ties with several investors will enable the company to further strengthen and bolster its market presence in global e-commerce.

Maximilian Bittner, CEO of Lazada Group said: “We are delighted to welcome Tesco and Access to join our investor group through this funding round. Kinnevik and Verlinvest also join the investment, which know for business and operations. With this, it demonstrates that we are making great progress in building a large and sustainable company in Southeast Asia. We are excited to continue this journey together with our investors.”

This marks the first investment by multichannel retailer Tesco into a pure online player in the region and the starting point of close ties. Synergies of this partnership will span across customer analytics, private label development and supply chain management.

Since its launch, Lazada has become the leading online general merchandiser across the region. The company pioneers e-commerce globally by providing a fast, convenient and secure online shopping experience combined with an extensive product offering in categories ranging from mobiles & tablets and consumer electronics to household goods, toys, fashion and sports equipment.

Mia Brunell Livfors, CEO of Kinnevik, said: “Strategic cooperation between long-term financial investors and industry partners can add significant growth momentum and enhanced profitability to e-commerce businesses. We welcome Tesco’s investment in Lazada and look forward to working with them in supporting Maximilian and his team.”

Robin Terrell, group multichannel director of Tesco, said: “This investment in South East Asia’s largest e-commerce retailer continues our strategy of developing leading multichannel businesses in core growth markets. Lazada is an exciting, pioneering business, which has developed a market-leading offer in each of its five markets in just 18 months. As South East Asia’s 600 million consumers begin to use Smartphone technology to access retailers online, Lazada has established a strong position from which to grow.”