Olist Secures $186M Funding to Expand Brazilian E-commerce

Olist Secures $186 Million in Series E Funding, Reaching $1.5 Billion Valuation

Olist, a prominent e-commerce marketplace integrator based in Brazil, has officially confirmed its valuation has reached $1.5 billion. This achievement follows a successful funding round of $186 million in Series E, spearheaded by Wellington Management.

Recent Funding Rounds

This latest investment arrives swiftly after the announcement of a $23 million Series D extension in April. Goldman Sachs Asset Management led that extension, bringing the total Series D financing to $80 million.

Olist's Core Functionality

Olist specializes in connecting small businesses with larger online marketplaces. This connection empowers entrepreneurs to broaden their reach and sell products to a significantly larger customer base.

The company’s technology operates on a SaaS licensing model, providing small brick-and-mortar businesses with the tools to increase their market share nationwide.

Investors in the Series E Round

Wellington Management was joined in this funding round by several key investors. These include funds managed by SoftBank, Corton Capital, Valor Capital Group, Goldman Sachs, Globo Ventures, and Kevin Efrusy.

Significant Growth and Acquisitions

Olist experienced a tripling of its size throughout 2021. Furthermore, the company completed four strategic acquisitions within the past year.

• Clickspace, a social commerce startup
• PAX, a logistics company
• VNDA and Tiny ERP, both providers of commerce tools for small businesses

CEO Statement on Future Plans

“Olist has consistently been a leader in digital retail, serving over 45,000 shopkeepers and retailers, even before the recent surge in e-commerce demand,” stated Tiago Dalvi, founder and CEO of Olist.

“This new funding will allow us to expand our capabilities and deliver even greater value to our customers.”

Expansion Beyond Marketplaces

Olist intends to move beyond simply facilitating marketplace sales. The new capital will be used to establish a dedicated fulfillment operation, scheduled to launch in the coming year.

The company also plans to enhance its financial services offerings. Currently, retailers on Olist have access to working capital credit lines.

Future Financial Services

Olist aims to expand these services to encompass risk management, accelerated sales processes, and the development of internal credit models tailored for merchants.

Geographic Expansion

The company has recently initiated operations in Mexico and is planning to extend its presence throughout Latin America in the next year.

Correction

Update, 12/15 at 10:50 a.m. PST: Olist has corrected a previous statement regarding Wellington Management’s investment history. It was inaccurate to state that this was Wellington’s first investment in a private Latin American company.