Thrasio Raises $1B Funding - Amazon Aggregator Valuation Soars

Thrasio Secures Over $1 Billion in New Funding for Aggressive Expansion

A leading company in the acquisition and scaling of third-party sellers on Amazon and other online marketplaces has announced a substantial funding round. Thrasio, headquartered in Boston, has successfully closed a Series D equity financing exceeding $1 billion. This significant capital injection will be utilized to facilitate further acquisitions and drive international expansion.

Investment Details and Current Growth

Currently, the company is acquiring businesses at a rate of 1.5 per week, bringing its total portfolio to approximately 200 brands. The funding round was spearheaded by Silver Lake and Advent International, with Advent remaining the company’s largest stakeholder.

Upper90, funds managed by Oaktree Capital Management, L.P., PEAK6 Investments, and Corner Capital – all previous investors – also participated in this round.

Valuation and Portfolio Highlights

Thrasio has confirmed a valuation ranging between $5 billion and $10 billion, though specific figures were not disclosed. Prior to this funding, in April, a $100 million raise valued the company at $3.7 billion. Considering accelerated growth and the doubling of its brand count to 200, the current valuation is likely higher.

Notable brands within Thrasio’s portfolio include Angry Orange pet deodorizers, SafeRest mattress protectors, and ThisWorx car cleaning products.

Company History and Funding to Date

Established in 2018, Thrasio has now raised a total of $3.4 billion, including a $650 million debt round earlier in the year.

The Rise of the "Roll Up" Strategy

Thrasio is recognized as a pioneer in the “roll up” acquisition model. Its success has inspired numerous startups globally, collectively raising substantial capital to replicate its business strategy.

Other companies in this space include:

• Heroes
• Olsam
• Suma Brands
• Elevate Brands
• Perch
• factory14
• Heyday
• The Razor Group
• Branded
• SellerX
• Berlin Brands Group
• Benitago
• Valoreo
• Rainforest
• Una Brands

Global Expansion Plans

A key driver for this funding round is to capitalize on global opportunities. Thrasio currently operates in the U.K., Germany, China, and Japan, with plans for further expansion to identify acquisition targets and strengthen its supply chain.

Market Opportunity and Scale

Despite increasing competition, the market opportunity remains significant. Estimates suggest between 5 million and 10 million third-party merchants utilize Amazon, leveraging its extensive customer base and Fulfillment by Amazon services.

Thrasio estimates that approximately 50,000 of these businesses generate over $1 million in annual revenue, indicating a substantial pool of potential acquisitions.

Building Economies of Scale

Thrasio is focused on building a larger, more efficient operation, potentially replacing some Amazon services with its own scaled solutions. This includes product sourcing, data analytics for identifying acquisition targets and optimizing marketing, and developing its own fulfillment technology.

The company is also actively exploring sales channels beyond Amazon, including other marketplaces and direct-to-consumer strategies.

To date, Thrasio has evaluated over 6,000 businesses for potential acquisition.

Executive Statements

“Our business is improving with increased scale, and these investments will be crucial as we continue on this trajectory,” stated Carlos Cashman, Thrasio’s co-founder and CEO.

“Advent and Silver Lake have proven track records in building successful global businesses, and the continued support from existing investors is a strong vote of confidence in a competitive landscape.”

Greg Mondre, co-CEO, and Stephen Evans, managing director, of Silver Lake jointly commented, “Thrasio pioneered the Amazon aggregator category, and their innovation and growth have garnered significant attention.

“We believe Carlos Cashman and his team are well-positioned to accelerate growth and establish themselves as the leading technology-driven consumer goods company. We are excited to partner with Carlos, his team, and existing shareholders as the company enters its next phase.”

David Mussafer, chairman and managing partner, and Jeff Case, managing director, of Advent International added, “Thrasio has rapidly become the largest e-commerce aggregator globally, and we are pleased to strengthen our partnership with Carlos and his team, alongside welcoming Silver Lake as a new investor.

“Thrasio is poised for continued success, and we look forward to collaborating with the company as it expands.”

Note: This article has been updated to reflect Josh Silberstein’s departure from his role as co-CEO.