Singapore’s Ninja Van said to halve valuation in latest funding round
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Ninja Van, backed by Alibaba Group, is set to raise US$80 million in a funding round that will slash its valuation to around US$1 billion.
ST PHOTO: BRIAN TEO
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SINGAPORE – Logistics start-up Ninja Van is in talks to raise an internal round of funding that will slash its valuation by about half, the latest sign of tech companies struggling to navigate the financing winter plaguing South-east Asia.
Singapore-based Ninja Van, backed by Alibaba Group Holding, is set to raise US$80 million (S$102.8 million) in a round that will reduce its valuation to about US$1 billion, according to people familiar with the matter.
Existing investors B Capital Group – the venture capital firm set up by Meta Platforms co-founder Eduardo Saverin and Mr Raj Ganguly – and Monk’s Hill Ventures will be leading the round, said the people.
Investors in this round secured favourable or preferential terms for a future exit, according to the people. A spokesperson for Ninja Van declined to comment. B Capital and Monk’s Hill did not respond to requests for comment.
Ninja Van is raising capital during one of the hardest possible times for fledgling firms. The South-east Asia technology industry has been plagued by job cuts, chief executive officer resignations and falling start-up valuations amid prolonged global macroeconomic uncertainties, making it difficult for companies to secure funding or debut on public markets.
Shares of regional tech peers Grab Holdings and Gojek parent GoTo Group have underperformed compared with Big Tech in the US as they work to balance growth and profitability in a region that is losing its lustre.
While e-commerce is gaining popularity in the region of more than 650 million people, stiff competition and deep-pocketed players like J&T Global Express and Sea’s SPX Express have kept profit margins slim in the logistics industry.
Founded in 2014, Ninja Van operates in six markets in South-east Asia and delivers two million parcels a day, according to its website.
It raised US$578 million in a Series E round in 2021 from participants including Alibaba and B Capital. The round lifted the company’s valuation to well beyond US$1 billion, turning the start-up into a unicorn. BLOOMBERG
