Shortly after JP Morgan invested in Indonesia-based Lazada and Australia based The Iconic, they followed up with an investment into another Rocket Internet company, Zalora. Zalora is Rocket Internet’s fashion e-commerce brand based in Singapore, with operations across seven countries in Southeast Asia.
The investment, which is undisclosed, came just eight months after the site launched. This deal makes this the seventh investment made by JP Morgan in a Rocket Internet company during the last month alone, as reported by TechCrunch. In addition to JP Morgan and Rocket Internet, other investors in Zalora include Summit Partners and Invus. Some companies in Summit Partners’ portfolio include Answers.com and Rocket Fuel in the new media and technology space, and the investment outfit also has an excellent track record of successfully exiting its portfolio companies through public listings.
Earlier on we reported about a disgruntled ex-employee of Zalora Vietnam who voiced out his dissatisfaction of the company to all his coworkers in an email. We also revealed the state of customer service in Zalora Singapore which obviously needed a lot of improvements.
e27’s co-editor had also come across a bad experience with Zalora Singapore.
When Zalora Singapore first started, the operations were messy and unorganized. They blasted out emails to NUS students, requesting them to work part-time. After securing the job and having worked for 2 days, I was not called back for any reschedules as promised. Emails sent to them were also never returned. This was the same for a friend of mine too.
With the new investment by JP Morgan, will Zalora finally focus on its employees’ welfare and its customer service? We certainly hope so. Or if not, they could start paying our co-editor and her friend their long overdue stipend.
Read on for the full press release.
Singapore, September 25, 2012 – ZALORA today announced that J.P. Morgan Asset Management has agreed to invest in the company, paving the way for further growth and expansion of South East Asia’s leading online fashion and lifestyle retailer.
“We are extremely pleased to count the distinguished global investment firm J.P. Morgan Asset Management to our shareholders. Their investment, which comes just eight months after the launch of ZALORA, demonstrates our success at bringing fashion to customers throughout the SEA region at the click of a button,” said Managing Director and Co-Founder Mato Peric. “Online retail holds tremendous potential in this market of more than half a billion customers, and we look forward to continued growth with our shareholders.”
J.P. Morgan Asset Management invested simultaneously into the ZALORA companies in five South East Asian countries as well as in Hong Kong and Taiwan. As the latest investor in ZALORA, J.P. Morgan Asset Management joins the likes of Rocket Internet, Summit Partners and Invus. ZALORA was founded in early 2012, employs more than 1,000 employees today and already achieved annualized double-digit million USD revenues.
Founded at the beginning of 2012, ZALORA has quickly become Asia’s leading online fashion and lifestyle destination. Featuring a wide selection of more than 300 brands across men, women and children’s clothing and home accessories, ZALORA offers its customers free shipping, a thirty-day return policy and a cash-on-delivery payment option. ZALORA currently operates across eight countries including Hong Kong, Indonesia, Malaysia, Philippines, Singapore, Taiwan, Thailand and Vietnam.
About J.P. Morgan Asset Management
J.P. Morgan Asset Management, with assets under supervision of approximately $2.0 trillion and assets under management of $1.3 trillion (as of June 30, 2012), is a global leader in investment management. J.P. Morgan Asset Management’s clients include institutions, retail investors and high-net worth individuals in every major market throughout the world. J.P. Morgan Asset Management offers global investment management in equities, fixed income, real estate, hedge funds, private equity and liquidity. JPMorgan Chase & Co. (NYSE: JPM), the parent company of J.P. Morgan Asset Management, is a leading global asset management firm with assets of approximately $2.1 trillion and operations in more than 60 countries. Information about JPMorgan Chase & Co. is available at www.jpmorganchase.com.