The world’s largest online and mobile commerce company, Alibaba Group has entered an agreement with Turkey’s leading e- commerce platform Trendyol in which Alibaba will invest into the company as well as acquire shares from existing investors.
Marking the largest internet sector transaction in Turkey to date, according to the agreement Trendyol and Alibaba will cooperate to accelerate Trendyol’s growth in Turkey as well as the surrounding region.
Alibaba’s leadership across technology, online commerce, mobile payments and logistics, as well as its experience in international expansion will be very helpful for Trendyol to expand into Turkey’s 16 million customers. Turkey is considered a very fast growing yet young e-commerce market and the population itself is very young as out of the 80 million population over 50% are below the age of 30. Not only that this presents with an attractive long-term client but also only 3.5% of the country’s retail sales are currently done online.
According to Demet Mutlu, Founder and CEO of Trendyol:
“We are very excited about this partnership. The two companies share a very similar culture, values and both have huge ambitions for the digital economy. We began our journey, eight years ago with a team of five people in my apartment and with our hard-working talented team, we have built the largest and fastest growing mobile commerce platform in Turkey. We are still at the beginning of our journey, and we will be working even harder to create more impact for our customers, merchants and our team. We have always looked up to Alibaba, and now their investment and support will help us in the next phase of our growth and evolution. In particular, we will work with Alibaba to help Turkish brands, merchants and manufacturers to reach hundreds of millions of shoppers globally, and we will continue to serve our customers and contribute to the development of the digital economy in Turkey and the broader region.”
Michael Evans, President of Alibaba Group further added:
“Turkey is an exciting and important market as we assess the development and proliferation of digital economies in the region and around the world. With this investment, Alibaba is partnering with a market leader and a strong founder-led management team, who have built an exceptional company with a strong platform, impressive growth and a loyal merchant and customer base. Together we will create significant opportunities in e-commerce, digital payments and the entire retail value chain in Turkey and across the region. Trendyol’s founders will continue to lead the company and also contribute to the Alibaba ecosystem. We will continue to support Turkish brands, merchants and manufacturers in their journey to become truly global.”
A leading e-commerce platform that was founded in 2010 in Turkey that serves 16 million customers, Trendyol is also the fastest growing e-commerce company in the region with over 90 million monthly visits. Trendyol is headquartered in Turkey.
About Alibaba Group Holding Limited
Alibaba Group Holding Limited is a Chinese e-commerce company that provides consumer-to-consumer, business-to-consumer and business-to-business sales services via web portals. It also provides electronic payment services, a shopping search engine and data-centric cloud computing services.
The group began in 1999 when Jack Ma founded the website Alibaba.com, a business-to-business portal to connect Chinese manufacturers with overseas buyers.
As of June 2016 it employs 46,288 employees and had revenue of CN¥101.143bn($14.65bn) and CN¥71.289bn($10.32bn) as net income.