Rakuten takes stake in Chinese online discount provider Fanli
[TOKYO] Japanese online retailer Rakuten Inc said on Monday it bought a stake of less than 10 per cent in Chinese online discount provider Fanli Inc, as it continues a push into overseas markets.
Rakuten - one of Japan's biggest online retailers - is trying to use its stronghold in its domestic market to transform itself from a pure e-commerce firm into a one-stop-site for a global audience, along the lines of Amazon.com Inc.
The Fanli investment comes about a month after Rakuten bought US eBook company OverDrive Inc for about US$410 million. Other high-profile acquisitions in recent years have included free messaging application Viber for US$900 million and Canadian e-book reader Kobo for US$315 million.
Rakuten did not disclose the size of the stake it bought in Fanli or how much it paid, and a spokesman declined to comment further. The investment valued Fanli at about US$1 billion, according to a Rakuten statement.
Kevin Johnson, the chief executive officer of Ebates, a US-based online discount operator that Rakuten bought for US$1 billion last year, will join Fanli's board of directors, the company said.
Rakuten already offers online services such as financing, travel, shopping and online video. It also announced last year it would set up a Japanese low-cost carrier with Malaysian budget carrier AirAsia Bhd.
Fanli, a Shanghai-based company, provides online discounts and sales. It currently has 70 million members, according to the company statement.
REUTERS
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Consumer & Healthcare
HCA beats first-quarter profit estimates on higher patient admissions
US FDA approves Pfizer’s gene therapy for rare bleeding disorder
EU toughens rules on Chinese fashion retailer Shein
Best World under fire from shareholders at AGM over dividends, director salaries
‘Extreme’ climate blamed for world’s worst wine harvest in 62 years
Sheng Siong Q1 net profit up 9.3% on higher revenue