Saverin-Backed Orami Raising More Funds for E-Commerce Dealsby
Female-focused e-commerce startup plans new services
Orami plans to acquire other online retailers, CEO says
Orami, a female-focused Indonesian e-commerce operator, is raising new funds for acquisitions just months after a $15 million financing round backed by Facebook Inc. co-founder Eduardo Saverin.
The new amount being raised is equivalent to 30 percent of the startup’s capital, Chief Executive Officer Jeremy Fichet said, declining to give a specific target. Orami requires about $50 million to reach break even, generate sufficient scale for its businesses and roll out new services.
“We want to scale our business faster through opportunistic M&As,” Fichet said. “We like M&As because you can tackle two challenges -- getting talent and customers.”
Orami, formed through the merger of startups Moxy and Bilna, targets female customers and sells items such as women’s clothing as well as baby and toddler products. Saverin joined the earlier round, which included Gobi Partners Inc. and Ardent Capital LLC.
The new fundraising comes two weeks after Alibaba Group Holding Ltd. made its largest overseas investment with a $1 billion deal for control of Lazada Group SA. The acquisition highlighted a region of 620 million people on the cusp of an online shopping boom.
Increasing smartphone usage in Southeast Asia is fueling e-commerce. About 70 percent of web traffic in Indonesia, the largest country in the region, was through mobile devices in 2015, according to an April report by Jefferies Group LLC.