Alibaba among investors in Ninja Van's US$578m funding round

LOGISTICS company Ninja Van has raised US$578 million in a Series E funding round, with Alibaba Group - the parent company of e-commerce platform Lazada - among the investors participating.

In a statement on Sunday, Ninja Van said existing investors also took part in the latest funding round. These include European parcel delivery company Geopost/DPDgroup; venture capital firms B Capital Group and Monk's Hill Ventures; and Zamrud, an entity linked to a South-east Asian sovereign wealth fund.

Ninja Van co-founder and chief executive, Lai Chang Wen, said: "The quality of investors joining us in this round of investment is a clear signal that the market recognises the emerging opportunities for e-commerce logistics in South-east Asia; and how as an entrenched player in the region, Ninja Van is positioned to take a central role in meeting the shifting demands of both businesses and consumers."

The company said it will use the funds raised on infrastructure and technology systems that will "support a sustainable long-term cost structure, as well as the quality and consistency of Ninja Van's operations".

In addition, funds will also be invested in Ninja Van's suite of micro-supply chain solutions to help South-east Asian businesses optimise e-commerce opportunities.

The latest funding round comes amid a boom in e-commerce as consumers shift their spending online as a result of the Covid-19 pandemic. Last year, the company also raised US$279 million in a Series D funding round.

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Ninja Van was launched in Singapore in 2014 as a last-mile logistics company. Since then, the company has expanded its operations to other South-east Asian markets, including Malaysia, Indonesia, Thailand, Vietnam and the Philippines.

The company currently employs over 61,000 staff and delivery personnel that support the delivery of around two million parcels a day throughout the region.

In July, it was reported that Ninja Van may pursue an initial public offering in the US as early as next year.

Alibaba Group's head of investment for South-east Asia, Kenny Ho, said: "We strongly believe in the potential of e-commerce in South-east Asia, in particular the power of technology-enabled logistics to fuel e-commerce growth."

He added: "With Ninja Van's vast presence and extensive local insights in the region, we are confident that our partnership with Ninja Van would enable us to better serve participants in the e-commerce ecosystem across the region."