Swiss private equity fund Pluribus Optimum announced last week its plan to invest €100 million in e-commerce projects in Russia and neighboring countries by the end of 2015. The fund will focus on improving processing, document flow, billing organization, and payment acceptance in online stores, as well as 3PL logistics.
“We have identified e-commerce as an extremely attractive investment field in Russia,” said Mika Romanoff, the director of the fund’s management company, in an exchange with East-West Digital News. “This [potential for growth] is obvious when looking at such key things as the number of Internet users, which has doubled over the last 2-3 years; the growth of online shopping, which is estimated at 25% growth per annum; the growth of average transaction size in value, which repeats what we previously witnessed in the US and Europe.”
Romanoff also points out the growth of cross-border online shopping and the considerable amount of investment already being attracted by local e-commerce companies.
However, while most investors in this field focus on online retail companies, Optimum will concentrate on fulfilment centers and logistical services for online shops as their priority for investments.
“In Russia, these segments are underdeveloped and their successful development is essential for the entire e-commerce market to reach its full potential,” Romanoff expressed.
“Pluribus Optimum’s strategy will become even more apparent once we successfully complete our first acquisition, which we are hoping to conclude within the next month or two,” he concluded.
Pluribus Optimum is an investment vehicle with an opportunistic approach – from agriculture to metals and oil & gas – in emerging markets. The fund focuses on medium to long-term investments in mid-market companies.
- RUSSIAN E-COMMERCE REPORT 2012 – The total volume of Russian online retail reached 310 billion rubles, a little more than $10 billion, in 2011, up 25% at least from the previous year. EWDN has published an in-depth research on Russian e-commerce, including an overview of fulfillment issues and an analysis of venture activity. To receive free insights or to order the full version, please contact us at [email protected].
