Linio has racked up two big investments this month. The Rocket-Internet-backed startup has brought in what is likely to be over US$40 million.
The first investment came in from German retailer Tengelmann. Though the exact details of the deal, including the amount, were not specified, The Next Web estimated an investment of between US$15 – US$20 million. And this week, Linio announced more funding: US$26.5 million (€20 million) from Summit Partners.
Widely known as the Amazon of Latin America, Linio currently operates in Mexico, Peru, Colombia and Venezuela. Consumers can find and buy a wide range of products on its e-commerce platform, including electronics, clothing, accessories, furniture, homeware and more.
Launched in the spring of 2012, Linio has grown quickly in a short period of time, thanks in large part to the backing of Rocket Internet as well as AB Kinnevik and J.P. Morgan. With these new investments from Tengelmann and Summit, the company will continue to expand in its existing markets and likely consider taking on other countries in the region as well.
Linio’s investors have placed their bets on Latin America’s hugely promising e-commerce market. E-commerce sales in the region hit US$43 billion in 2011 and are expected to reach US$69 billion this year. And while Brazil – a market in which Linio is not currently active – is the definitive leader in the region, other locales aren’t doing too shabby.
Mexico is Latin America’s second strongest e-commerce market, where sales totaled US$6.2 billion in 2012. In fact, Mexico leads the region in the amount spent per shopper, 20% more than Brazil. Also relevant to Linio’s investors: Colombia’s e-commerce sales reached nearly US$2 billion in 2012, and Peru’s e-commerce market is expected to increase 50-60% in 2013.