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South Korean online retailer Coupang racks up $300 mln

South Korean online retailer Coupang has raised $300 million in funding. BlackRock Private Equity Partners led the round with participation from Wellington Management Company, Greenoaks Capital Management and Rose Park Advisors. According to the company, the capital will be used for product development and personnel hirings.

PRESS RELEASE

SEOUL, South Korea, Dec. 10, 2014 /PRNewswire/ — Coupang, the largest online retailer in Korea, today announced that it has raised $300 million USD in financing led by BlackRock Private Equity Partners, with additional participation from Wellington Management Company, LLP, Greenoaks Capital Management, and Rose Park Advisors. This new financing will help the company strengthen its position as one of the most innovative technology companies in Korea and further expand its direct-to-consumer e-commerce offerings. Coupang will also use this funding to bolster its presence in its Silicon Valley, Seattle, Shanghai, and Seoul offices by expanding the engineering and R&D teams in those regions. Additionally, as Korea’s most well-funded private technology player, Coupang now has nearly half a billion USD in cash.

“From day one of our business, we focused on redefining what a great end-to-end customer experience is all about,” said Bom Kim, Founder, CEO and Chairman of Coupang. “Building on Coupang’s innovative mobile commerce platform and ground-breaking ‘same-day delivery’ service, this new funding will help us take our technology and infrastructure offerings to the next level. This will translate into a new standard for fast, high-touch, personalized shopping and delivery services that surpass any other e-commerce model today.”

“Coupang is one of Korea’s largest and fastest growing e-commerce companies,” said Jay Park, managing director, BlackRock Private Equity Partners. “Its differentiated same-day service model, deep mobile expertise, and precedent-setting online commerce offering, makes Coupang an e-commerce leader to watch – not only in Korea but globally.”

The Coupang Difference
Coupang is Korea’s premier online destination that offers a broad selection of merchandise directly to consumers. In 2013, in its third full year of operation, Coupang exceeded $1 billion USD in annual gross merchandise value and is currently operating at an annualized run rate of over $2.2 billion USD. Coupang has achieved this growth by pioneering new offerings that set a new standard for customer service. For example, Coupang is now the largest online fulfillment operator in Korea enabling same-day delivery around the country. Underlying Coupang’s massive online operation are proprietary, state-of-the-art technologies developed by the company to power complex logistics and advanced delivery services. With unmatched inventory selection and a home-grown fleet of drivers and fulfillment centers, Coupang is not only able to deliver packages fast, but also with highly-personalized delivery experiences.

Setting the Pace in Mobile Commerce
Given that Korea has the world’s fastest Internet connection speed and extremely high mobile phone penetration, Coupang decided to build its platforms and teams around the “mobile first” mantra. Today, with 19 million mobile app downloads from 1 out of 3 people in Korea, the company’s mobile platform accounts for over 70 percent of the company’s revenue and 80 percent of its total traffic. Now the largest direct-to-consumer e-commerce entity in Korea, Coupang has reached a billion dollars in annual Growth Merchandise Value (GMV) faster than any company in the world and realized a billion dollars in annual mobile GMV this past year.

“We are proud and excited to be partnering with BlackRock and other major investors for this next stage of our growth,” said Richard Song, CFO of Coupang. “Their investment underscores Coupang’s innovative technology and dynamic approach to e-commerce and will allow us to focus on the continuous technology innovations that drive our business and revolutionize the way consumers shop.”

About Coupang
Founded in 2010 by Bom Kim, Coupang is the largest online retailer in Korea that offers a diverse selection of merchandise including baby goods, fashion, beauty products, consumables, home goods and decor, books and toys, sporting goods, electronics, and tickets for travel and cultural events.
Coupang is based in Seoul with offices in Silicon Valley, Seattle, and Shanghai. In addition to BlackRock, Coupang is backed by investors including Wellington, Sequoia Capital Global Equities, Sequoia Heritage, Greenoaks Capital Management, Rose Park Advisors, Maverick Capital, Altos Ventures and others. For additional information, please visit: www.coupang.com. For job opportunities in the U.S. and Korea please visit: https://www.linkedin.com/company/coupang.