Tokopedia has garnered $1.1 billion from its latest funding round wherein it was valued at $7 billion.
Tokopedia, an Indonesian e-commerce company, stated it has secured $1.1 billion from its latest funding round which was led by Japan’s SoftBank Group Corp and China’s Alibaba Group Holding Ltd.
This investment follows a similar trend from last year, wherein Alibaba led in its funding round.
The development comes in the wake of Tokopedia expanding rapidly into the Southeast Asian market midst a slowdown in growth in China’s e-commerce market.
In a statement, Tokopedia said it planned to use the funds to invest in technology and infrastructure while adding that it would continue to focus on the Indonesian market and drive economic development and financial inclusion in the country.
The investment would help “broaden Tokopedia’s scale and reach” besides improving its operational efficiency, said William Tanuwijaya, Tokopedia’s CEO and co-founder in a statement.
Although TechCrunch reported citing anonymous sources that Tokopedia was valued at around $7 billion in this funding round, Tokopedia did not confirm the valuation.
The latest funding sees an increase in Alibaba’s stake in one of Indonesia’s fastest growing companies.
Indonesia is fast becoming a proxy battleground for China’s Alibaba and JD.com.
Founded in 2009, Tokopedia is Indonesia’s largest online marketplace and is comparable to Alibaba’s Taobao.
Tokopedia stated its sales have jumped by 4 times from the previous year.