AUSTRALIAN e-commerce and logistics technology company Shippit has raised an A$30m (US$22m) Series B equity round led by US-based technology investment firm Tiger Global alongside local representative Jason Lenga.
Shippit provides fulfilment technology to thousands of leading retailers including Sephora, Big W, Target, and Temple & Webster. Shippit software improves order fulfillment, drives increased sales conversion and enhances customer experience. It allows retailers to choose who delivers their order and how it is delivered.
Shippit currently handles five million deliveries a month in Australia alone and is growing both in Australia and in south-east Asia.
Tiger Global partner John Curtius said the fund was impressed with the business fundamentals and rapid growth that Shippit had demonstrated.
“Shippit has some of the best metrics we have seen for a company raising at this stage,” Mr Curtius said.
“They are incredibly capital efficient, they serve an enormous and growing addressable market, they have a great product-market fit with category-leading partnerships and they are profitable.
“Their service is indispensable to retailers and we are proud to be backing the next stage of their growth journey.”
The round follows strong performance for the company throughout 2020 as the global e-commerce market surged more than 50%, and more than 80% in the Asia-Pacific region. It builds on A$11m raised to date since 2017.
Funds raised will support the company’s expansion in the south-east Asia region, product and technology enhancements by a growing team of engineers in their Sydney development hub, and key hires who will drive growth and profitability during this expansion.
Founding CEO William On said that the raise would allow Shippit to continue the rapid growth that had occurred during 2020.
“E-commerce is how retail survives, revives and thrives,” Mr On said.
“Scalable logistics is one of the fundamental enablers for ecommerce in the APAC region and this capital raise will enable us to advance our core business of providing the technology retailers need to grow.”