Vietnamese e-commerce platform Tiki is raising another US$100 million from a Northstar Group-led funding round.
The deal, was initially aiming for $75 million, but has been scaled up with support from Tiki’s current Korean backers, and may pull in as much as $150 million if certain KPIs are met.
Tiki, which acquired competing platform Lazada last year, is now Vietnam’s second-largest e-commerce player after Shopee. It attracted a $44 million investment from Chinese industry partner JD early last year, and recently extended its national logistics operations in partnership with Vietnamese firm Unidepot.
“Supply chain is a billion-dollar industry in Vietnam with surprisingly rapid growth,” said Tiki CEO Tran Thai Son. “However, Vietnam’s supply chain has not achieved its peak efficiency. For example, for an order worth 100,000 dong, logistics costs can be up to [25,000] dong.”
Tiki’s infrastructural investments have seen the firm accumulate losses of around VND1 trillion ($43.3 million) over recent years.