Sendo, one of Vietnam’s leading e-commerce platforms, announced last week that it secured new Series C funding and that the company will receive $61 million USD in new financing—the company’s largest funding round to date. In August 2018, Sendo had raised $51 million USD in Series B funding, so the company’s total funding is more than $110 million USD to-date.
Sendo’s existing investors—include Beenos, Daiwa PI Partners, Digital Garage, SBI Group, and SoftBank Ventures Asia —expressed strong support via the Series C funding and welcomed two new investors, EV Growth from Indonesia and Thailand’s Kasikornbank.
In a statement to the investors and media, Hai Linh Tran, CEO and Co-founder of Sendo, said that the new funding would be used to expand offerings to both sellers and consumers. And funding will also be used in information technology operations. The company wants to use artificial intelligence and machine learning to improve the consumer experience.
Linh also said that Sendo had reached an annualized Gross Merchandise Value (GMV) target of $1 billion USD earlier than expected, but Linh said that although this number looks “great”, the company wants to focus on medium-term “meaningful and sustainable GMV growth.”
“Sendo’s integrated ecosystem spanning marketplace, advertising, logistics, and financial services is designed to ensure that, and that goes well with our monetization strategy into multiple revenue streams and ultimately, our path to profitability,” Linh said.
Sendo is focusing on sales to Vietnamese consumers living in rural areas
Sendo was founded in 2012 as part of Vietnam’s largest IT services company, FPT Corporation. The company was spun-off from FPT in 2014 and has become one of the leading players in Vietnam’s e-commerce sector. The company says that it currently has more than 500,000 sellers and serves more than 12 million customers.
One of the company’s unique points is that focuses on reaching customers beyond Hanoi and Ho Chi Minh City. The company is wooing consumers in the largely untapped tier-2 cities, which are home to 70 million people and it says that its 12 million customers come from all Vietnam’s 63 provinces.