SCI Ecommerce is mulling an IPO before the end of the year. Here are the top-line bullets you need to know.
SCI Ecommerce, an e-commerce software company, has raised $27.9M (SGD 37.53M) in an extended funding round that drew participation from EDBI, FIC, and A. Soriano Corp.
HOW’S THE COMPANY PERFORMING?
- Singapore-based SCI Ecommerce offers e-commerce software that helps cross-border corporations sell their products in Southeast Asian e-commerce marketplaces like Shopee, Lazada, Qoo10, and ezbuy, among others.
- It claims to have doubled its revenues from 2019 to over $100M in 2020, a year-on-year growth of more than 140%. For the past 3 years, its revenues have grown by more than 75x, and the company has been cash-flow positive since 2019.
- SCI reportedly manages around 6,000 online shops across e-commerce platforms and social media channels in Southeast Asia and has clients such as Unilever, Danone, Stanley Black & Decker, Abbot, and Nestle.
- The company has offices in Singapore, Indonesia, Malaysia, China, and Thailand.
Source: SCI Ecommerce
WHY DOES THE MARKET MATTER?
- The e-commerce market is growing at a CAGR of 22.9% and is expected to reach $16.2T by 2027, according to Meticulous Research. This has fueled the growth of allied industries like the e-commerce enablement market.
- The Covid-19 pandemic has bolstered the growth in demand for online shopping.
- Investment in e-commerce initiatives has increased by more than 50% between 2019 and 2020.
- Given Amazon’s stronghold over the online retail market, retailers are doubling down on unique strengths like niche assortment and distinctive convenience and consolidating through mergers, acquisitions, and partnerships.