Qoo10’s logistics subsidiary, Qxpress, has raised US$50 million in a round led by South Korea-based private equity investment firm Crescendo Equity Partners.
The funding will help Qxpress to improve the reliability and security on its delivery platform, as well as extend its reach by setting up more delivery processing centres.
The firm currently fulfils deliveries through 11 centres across seven markets.
As they advance their capabilities, the company will be able to offer more competitive prices for its cross-border delivery services.
Qxpress is currently in Singapore, Malaysia, Indonesia, Korea, Japan, China, and the US, and looks to expand its operations to Taiwan, Hong Kong and other Asian countries.
On top of that, the firm will work on bulking up their services in warehousing and fulfilment, which currently comprises storage and inventory management.
These services are now only offered in Singapore and Japan, and Qxpress plans to bring them into their other markets soon.
Its parent company Qoo10 rose to wide recognition in the region since it was established in 2010, and last year emerged as the most popular e-commerce site in Singapore by a large margin (Lazada and Shopee came in second and third respectively).
Qoo10 has previously been backed by Singapore Press Holdings (SPH), eBay, Saban Capital Group and other investors, who participated in a financing round in 2015 that amounted to US$82.1 million.
In total, the ecommerce platform has raised US$230 million from investors across its lifetime.
The company has recently been focusing heavily on Singapore after they sold their Japanese business to eBay for US$573 million.
With the financial inflow from this deal, Qoo10 invested more in its Southeast Asian operations, with a large portion of their budget (80%) allocated to Singapore.
Qxpress was set up since 2011 to provide international logistics for the ecommerce platform, and now boasts that 97.5% of its cross-border deliveries to Singapore are completed within four to five days.
Featured Image Credit: Qoo10
