Rocket Internet’s home & living online retailer, Home24 AG has signed a EUR 20 million funding round at a EUR 420 million post-money valuation. Prior to the raising, Home24 was valued at EUR981 million.
According Rocket Internet SE, the company provided EUR 1.4 million investment the round, while “Baillie Gifford and other investors are also participating in this round. As a result of the transaction, Rocket Internet’s combined direct and indirect stake will decline to 42.9%, from previously 44.6%”
Commenting on the development, Oliver Samwer, CEO Rocket Internet, said: “With the proceeds from this funding round, Home 24 is well positioned to reach its strategic goals”,
However, Philipp Kreibohm, founder and management board member of Home24 said “After a phase of strong growth and infrastructure expansion, we shifted the focus on making sustainable process and system improvements, paving the way towards profitability. The investment from this funding round enables us to continue to improve the customer experience as well as our logistics network and technology platform.
Rocket Internet is trying all its best to turn profit quickly in many of its eCommerce ventures, including Jumia Nigeria where it has restructured it into one single operation and domain.
In its half year financial result, Rocket Internet made a net loss of EUR617 million. The company blamed it on Global Fashion Group, GFG its cloth retailing eCommerce site with huge presence in Europe and Asia Pacific. Detailed report is expected to turn in on the 22nd of September, 2016.