2014 was an absolutely massive year

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Update time : 2015-03-16 09:50:07

2014 was an absolutely massive year for eCommerce in Asia as companies in the region raised $11.5B across 367 equity financings last year. The boom in financing activity was driven by a number of $100 million+ rounds, as well as five $500M+ financings to Asia Unicornssuch as Flipkart and Snapdeal.

Funding was up 312% and deals were up 59% versus 2013.

Asia eCommerce equity investments 1214

China and India account for majority of deals

There were over 120 equity investments made into Chinese eCommerce companies in 2014, accounting for 34% of all deals into the Asian eCommerce space. India saw the second highest tally of deals, as the only other country with over 100 investments in the year. Japan and Singapore followed in terms of deals, while South Korea saw the fifth most deals, and the third highest total funding, largely due to the $400M that Coupang raised across its Series C and D rounds from investors such as Sequoia Capital, Wellington Management, and Founder Collective.

The full geographic breakdown is below.

asia ecommerce investment by country 14

Early-Stage deals reach multi-year high

While later-stage deals made headlines in 2014, the majority of investments came in at the early-stage (Angel – Series A). 37% of all deals were in mid to late-stage financings. Overall, there were over 200 early-stage financings to Asian eCommerce companies in 2014, the highest total in the past 3 years, a sign that we may just be at the beginning of this industry’s boom.

asia ecommerce funding by stage 14

Tiger Global dominates top deals

The top 20 deals in Asian eCommerce companies in 2014 raised over $7.2B cumulatively, with India’s answer to Amazon, Flipkart, accounting for 2 of the top 5 deals. These deals made made up $1.7B of the $1.9B the company raised last year across three rounds. Interestingly, when looking at the top deals, Tiger Global is everywhere having participated in 7 of the top 20 (5 of which were in the top 10) largest deals, including all three Flipkart financings, as well as investments in Uber alternative Kaudi DacheKoudai GouwuYouxinpai, andBeijing Feixiangren IT, the owner of Ganji.com.

The full list of top deals below.

Top Asia eCommerce Deals in 2014
RankCompanyRoundAmount ($M)Select Investors
1FlipkartSeries G1000Accel Partners, Tiger Global Management, Morgan Stanley, Digital Sky Technologies, GIC Special Investments
2MeituanSeries D700Sequoia Capital China
2FlipkartSeries H700Tiger Global Management, T. Rowe Price, Digital Sky Technologies, GIC Special Investments
4SnapdealCorporate Minority – II627Softbank Corp.
5Kuaidi DacheSeries D600Tiger Global Management, Softbank Corp., Alibaba Group
6DianpingCorporate Minority400Tencent
7Koudai GouwuSeries C350Tiger Global Management, Digital Sky Technologies, Tencent
8CoupangSeries D300BlackRock, Wellington Management, Greenoaks Capital Management
8MeituanSeries C300Sequoia Capital China
10YouxinpaiSeries C260Tiger Global Management, Warburg Pincus
11GrabTaxiSeries D250Softbank Corp.
11LazadaSeries F250Temasek Holdings, Rocket Internet, Kinnevik, Verlinvest
13JingdongCorporate Minority214.7Ontario Teacher’s Pension Plan Board, Kingdom Holding Company
14OlacabsCorporate Minority210Softbank Corp.
14FlipkartSeries F210Tiger Global Management, Digital Sky Technologies, Naspers, Iconiq Capital
16Beijing Feixiangren Information TechnologySeries E200Tiger Global Management, The Carlyle Group
16MogujieSeries D200QiMing Venture Partners, IDG Capital Partners, Banyan Capital
16Tongcheng Network Technology Share Co.Corporate Minority200Ctrip
19Jumei International HoldingsPrivate Equity150General Atlantic
20eLoancnCorporate Minority147Legend Holdings

 

Sequoia Capital China is Most Active

Sequoia Capital China was the most active investor in Asian eCommerce companies in 2014, investing in over 15 unique companies last year. The active year comes after Sequoia had raised a $530M fund to invest in Asia. Their most notable investment was in Meituan’s $700M Series D which valued the “Groupon of China” at $7B. IDG Capital Partners was second, investing in over 12 unique companies in 2014, including social commerce site Mogujie’s $200M Series D which valued the company at $1B. East Ventures, SAIF Partners, and the previously-mentioned Tiger Global (who raised $2.5B in 2014 to invest in venture financings) rounded out the top 5 all with over 10 unique company investments in 2014.

Most Active Asia eCommerce Investors
By Unique Companies, 2014
RankInvestorNotable Investments
1Sequoia Capital ChinaMeituanJiuxian
2IDG Capital PartnersVANCLMogujie
3East VenturesMercariBilna
3SAIF PartnersWomaiVANCL
3Tiger Global ManagementKuadi DacheFlipkart
6Accel PartnersFlipkartMyntra
6Matrix Partners ChinaMetaoEdaixi
8CyberAgent VenturesaCommerceKabuku
9500 StartupsCarousellSmove
10TencentJingdongDianping
10Lightspeed China PartnersTujia OnlineRong360