ISLAMABAD: Chinese E commerce giant Ali Baba has officially acquired the South Asian E commerce portal Daraz.
The announcement was made in a statement by Daraz’s parent company Rocket Internet on its website. However, the post did not disclose the amount which was spent by Ali Baba to acquire the e commerce giant.
Quoting Rocket Internet’s CEO, the statement read:
“The sale of Daraz to Alibaba is another testament to Rocket Internet´s ability to successfully scale and exit market-leading companies”, says Oliver Samwer, CEO of Rocket Internet. “Leading technology and a strong logistics network have helped creating one of the fastest growing companies in the region. The acquisition by Alibaba is a tremendous success for the entire team working at Daraz.”
Founded in 2012 by Rocket Internet, Daraz is actively operating in five countries including Pakistan, Bangladesh, Nepal, Srilanka and Myanmar. Interestingly this is the second such e commerce company acquired by Ali Baba from Rocket Internet. Two years ago, it also acquired South east Asia focused e commerce platform from Rocket Internet named Lazada.
Reports have been rife for quite some time about the possible acquisition for months but no official confirmation was made until today. Bloomberg reported in March, 2018 that the two giants were in talks for possible acquisition of Daraz by Ali Baba.
The move is being viewed as part of increasing expansion of Ali Baba within the region. Earlier, Ali Baba’s Ant Financial also bought 45% shares in Telenor Microfinance Bank for US$ 184.5 million to further develop digital financial services.