Alibaba is doubling down on Southeast Asia after it announced a deal to pay close to $1 billion to raise its stake in e-commerce firm Lazada from 51 percent to 83 percent.
The Chinese firm made an initial $1 billion investment in April 2016 at a valuation of $1.5 billion — this second deal raises that valuation to $3.15 billion, Lazada disclosed. The deal sees Alibaba buy shares from existing backers, including Rocket Internet — Singaporean sovereign fund Temasek and the Lazada management team are the only investors that kept hold of their stock.
“That [valuation] is quite a significant uptick and overall that reflects the great performance and traction that Lazada has seen. It also reflects that Alibaba continues to be extremely positive about this region, doubling down on Southeast Asia and seeing the potential,” Lazada CEO Max Bittner told TechCrunch in an interview.
Bittner declined to provide specific financial figures for the business. But he said that…
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