São Paulo, March 24, 2015 - IFC,
a member of the World Bank Group, and Riverwood Capital, a risk capital
fund specialized in technology, announced a USD 45 million equity investment
in Netshoes, the largest pure play e-commerce sporting goods in the world,
to help promote the growth of the online retail sector in Latin America.
The equity investment will support and
help accelerate Netshoes’ expansion in Latin America, with growing operations
in Argentina and Mexico in addition to Brazil, as well as in developing
new business verticals, including the recent launch of Zattini, an e-commerce
retailer specialized in the fashion segment. This new investment comes
in addition to the USD 170 million invested by GIC, the Singapore’s sovereign
wealth fund, in May 2014.
"The arrival of Riverwood and IFC
will contribute to our sustainable growth plan, foster innovation, further
investments and in offering our customers the most delightful shopping
experience", said Marcio Kumruian, Netshoes’ founder and CEO. According
to Kumruian, the investment reinforces the confidence of major global funds
in the solid economic fundamentals of Netshoes, even in a scenario of economic
uncertainty.
“Online retail is expanding choice
for consumers, creating jobs and promoting development of the retail sector
in emerging markets“, said Sean Petersen, IFC Senior Investment Officer
in Venture Capital. “Netshoes is bringing world class customer service
and logistics to Latin America, and its growth has created new employment
opportunities for women and young people”. In fiscal year 2014, IFC committed
more than US$593 million of financing to the retail sector globally.
"We are very excited about joining
the Netshoes family and contributing to its continued growth. Netshoes
has become one of the top brands in e-commerce in Brazil and Latin America,
and we were impressed with its great customer service and an expanding
assortment of attractive products and services targeted to the growing
class of online consumers in the region", said Francisco Alvarez-Demalde,
founder and general partner of Riverwood.
Both IFC and Riverwood will have seats
on the Netshoes Board, which is formed by the top company executives,
representatives of the investment funds Tiger Global Management, GIC, Temasek
Holdings and Kaszek Ventures, along with advisors such as Paul Tagliabue
(former NFL Commissioner), Cássio Casseb (former president of Banco do
Brasil) and Nilesh Lakhani (former CFO of Yandex).
About IFC
IFC, a member of the World Bank Group,
is the largest global development institution focused exclusively on the
private sector. Working with private enterprises in about 100 countries,
IFC uses its capital, expertise, and influence to help eliminate extreme
poverty and boost shared prosperity. In FY14, IFC provided more than USD
22 billion in financing to improve lives in developing countries and tackle
the most urgent challenges of development. For more information, visit
www.ifc.org.
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