Chinese e-commerce giant Alibaba plans to invest an additional SGD279 million ($207 million) in Singapore Post (SingPost) and its e-commerce subsidiary.
Alibaba, which acquired about a 10 per cent stake in SingPost for $249 million last year, is expanding that interest to 15 per cent with a $138.6 million investment. The Chinese firm is also investing $68 million to buy a 34 per cent stake in Quantium Solutions International, a SingPost subsidiary that provides e-commerce logistics across Asia Pacific, Reuters said.
SingPost is looking to expand its its e-commerce business as revenues from its core postal business decline.
In a separate deal, Alibaba reportedly invested more than $100 million in Mei.com, a leading flash sales platform for luxury and fashion products in the mainland.
Alibaba said in a statement the deal is intended to improve Mei.com’s supply chain services, which cover the sales of limited-time discounted products from well-known international luxury and fashion brands to consumers in China.
Alibaba plans to integrate resources from its B2C platform Tmall.com to form a specialised services team to support Mei.com’s development and assist it in expanding its user base, brand cooperation base, logistic services and IT infrastructure services.