Bukalapak's valuation rises to over US$2.5bn after clinching new funding

Indonesian eCommerce company Bukalapak is said to be valued at over US$2.5 billion after a new Series F funding round, according to media outlets such as BT and Tech In Asia. In a statement to Marketing Interactive, a spokesperson said the investment amount cannot be disclosed, but will be injected to execute Bukalapak's long-term strategy and plan to be a sustainable eCommerce firm.

Local media conglomerate Emtek Group and Shinhan GIB, the investment banking unit of South Korean financial group Shinhan Financial Group are some of the investors involved in the funding round. While no specific partnerships have been revealed, the Bukalapak spokesperson said the firm is open to partner and collaborate with anyone who share its vision. Its goal, meanwhile, remains the same: to empower SMEs as the driving force behind Indonesia’s economy, and create bigger positive impact in Indonesia.

In September, Bukalapak revealed that it was “sunsetting” some products and programmes that are not the firm’s core strength and not relevant to Indonesia market. The move impacted less than 10% of Bukalapak’s over 2,500 employees. It also shared that it would be forging synergies and collaborations with different companies, including its sister companies in Emtek Group, in areas such as smart retail and Internet of Things.

Aiming to break even and be profitable, Bukalapak has been investing in system upgrades, new policies and processes, as well as focused recruitment on all levels. Bukalapak’s gross profit for the first half of 2019 was three times of last year’s over the same period and it has been halving its EBITDA loss in the recent months. In a previous statement, a spokesperson said the changes are necessary as it becomes a “grown-up company” and thinks of long-term sustainability like a mature adult.

[Asia eCommerce Awards welcomes you to submit your entries by 23 August. Designed to recognise excellence in eCommerce across Asia, there are 30 enterable categories offered to showcase the best industry players from brands and eRetailers to agencies and enablers. Register now!]

Read more: Bukalapak opens doors to consumers in Asia with BukaGlobal Bukalapak names Erick Wicaksono VP of marketing Bukalapak partners Axinan to offer customers insurance for electronics purchases Bukalapak and MoneySmart founders on tackling the fragmented Asian market Bukalapak ties up with MoEngage to drive cross-channel user engagement ECommerce players in Indonesia share their tips to success