Jabong Parent Gets 300 Million EUR Funding From Rocket Internet
Jabong Parent gets 300 million EUR funds from Rocket Internet. Global Fashion Group (GFG) parent of online fashion portal Jabong has secured a funding of Rs 2,282 Crore from Rocket Internet. The german tech startup investor Rocket Internet will underwrite around EUR 100 million of the financing.
It will invest around EUR 85 million including the conversion of an existing investment at the terms of the financing. The transaction values GFG at EUR 1 billion post the transaction, Rocket Internet said in a statement.
Global Fashion Group
‘’The financing will provide GFG necessary capital to continue to execute its strategy of building out its leading position in the online fashion sector in emerging markets’’. GFG Chief Executive Officer Romain Voog said.
During first Q1 of 2016 Jabong Parent GFG reduced loss from operations compared to the year ago. Resulting in an improvement of the adjusted EBITDA margin by over 10 percent and ‘’ This is in line with GFG’s plan to deliver an accelerated path to profitability across its regional business while continuing to capture the significant market opportunity available,’’ he added.
Founded in 2014, GFG combines six regional brands, Dafiti in Latin America, Lamoda in Russia, and CIS Namshi in Middle East, The Iconic in Australia, Jabong in India and Zalora in South East Asia.
‘’ We continue to be very excited about the prospects of GFG which is successfully built out leading market positions in key emerging markets. We are looking forward to continuing to work with the GFG team as well as Kinnevik and the other GFG shareholders to support GFG,’’ Rocket Internet CEO Oliver Samwer said.
Rocket Internet also has investment in FoodPanda in India. ‘’ we have had success over the past few months with Jabong records best month in terms of revenue. GFG see good progress with Jabong in India it is the trust and help to strengthen our operations in the country,’’ he added.
Jabong launched in 2011 offers more than four lakh, emerged with GFG in 2014.