Linio, one of Latin America’s fastest-growing e-commerce retailers, has announced an investment of US$32 million (€25 million) from Santo Domingo Group. Half of that amount will come from Colombia’s Valorem.
This isn’t a first investment for the company. In fact, when it comes to investments, Linio is bringing home the bacon.
Earlier this year, the startup closed deals worth a combined US$40 million with Tengelmann and Summit Partners, adding on to previous investments from AB Kinnevik and J.P. Morgan. It launched with the backing of Rocket Internet in the spring of 2012.
Linio will use this latest investment to fuel its growth in Colombia, one of its main markets. The company also operates in Peru, Mexico and Venezuela, where it offers products from top brands in a wide range of categories, including technology, entertainment, home, toys, books, office accessories, personal care products and more.
“We are excited to welcome Santo Domingo Group as our main partner and investor in Colombia. Both organizations share the same aspirations for e-commerce in Colombia, and we are now destined to build the most customer-centric retail company in the country,” commented Vagn Knudsen, General Manager of Linio. “This investment, which comes on the heels of a previous investment in Linio by Tengelmann , J.P. Morgan Asset Management and Summit Partners, allows us to offer new categories of products, strengthen our operations, deliver even faster to our customers, and recruit the best talent,”
Linio Colombia Managing Director Michael Shoemaker highlighted the participation of Valorem, a publicly traded Colombian investment fund, in the deal, “Valorem’s investment in Linio is a testimony to Linio’s remarkable success to date as well as the Santo Domingo Group’s visionary investment strategies. They see that, with the right investment, Colombia and Latin America, as much as Silicon Valley, are capable of creating exceptional high-growth companies and outsized returns to investors.”
With e-commerce sales in Latin America expected to reach US$69 billion this year, Linio faces an unprecedented opportunity to grab a hefty piece of the pie. And with the investments rolling in, there’s no doubt that it’s also got the budget necessary to do so.