Berlin start-up powerhouse Rocket Internet’s fashion-focused e-commerce group Global Fashion Group has raised €150m in a funding round that values it at more than €3.1bn.
Rocket Internet has contributed €37m to the round and will hold a 24.2pc stake in Global Fashion Group.
Rocket Internet has also agreed to invest in two Brazilian online fashion businesses Kanui and Tricae. Kanui is a sport and outdoor-based e-commerce business focused on the surf and skating genres, while Tricae is a kids and baby clothing e-commerce company.
The €150m round by Global Fashion Group will be invested in product development and infrastructure.
“The additional capital will give us an exceptionally strong runway and allow us to capitalise on the massive growth opportunity of fashion e-commerce in emerging markets,” said Global Fashion Group CEO Romain Voog.
“In addition, the strategic acquisitions of Kanui and Tricae enable the integration of two great businesses that have a natural fit with our Latin American brand Dafiti and are acquired at attractive terms.”
Food and fashion – where the action is at in e-commerce
Rocket Internet is the Berlin start-up emporium established by the Samwer brothers Marc, Oliver and Alexander.
The company, which in February invested €496m for a stake in Delivery Hero and acquired seven other food delivery companies, believes food and fashion are the next frontiers of e-commerce.
Last year, Rocket Internet consolidated five of its emerging fashion brands into one US$3.5bn (€2.7bn) entity called Global Fashion Group.
Oliver Samwer, CEO and Founder of Rocket Internet, said: “We continue to be very excited about the prospects of international online fashion and GFG in particular. Romain and his team have made great progress in integrating the international businesses and the acquisitions of Kanui and Tricae will add further to GFG’s presence and ability to realise synergies.”
Catwalk image via Shutterstock