Thrasio, a digital consumer goods company that innovated the idea of taking over private products on Amazon & scaling them up, is reportedly expanding into India and is on the verge of making its first local brand buy.
According to credible sources, Thrasio is one of the world's major buyer of third-party private tag companies on Amazon which has recently initiated discussions with Lifelong Online, a customer durables brand, about a possible acquisition.
The company aims to grow its India business using the Lifelong Online platform and is projected to pay around $30-$50 million for this acquisition.
Following this move, Tharasio plans to invest around $500 million in India as it has acknowledged the country as one of the major consumer markets available. Additionally, Thrasio will be in charge of the Indian operations via the Lifelong India team.
The acquisition's final details are being finalized, and it must be completed in about a month.
For information, Lifelong Online retails consumer durables in kitchen, home appliances, grooming, lifestyle, fitness, and accessories segment. It is renowned for its kitchen and household appliances, and its monthly maximum sales have been in the range of Rs 40-Rs 50 crores (approx. $5-$6.5 million).
As per sources, Tanglin maintains more than 20% interest in the company. While Flipkart Group CEO Kalyan Krishnamurthy and Tanglin Ventures, funded by Sujeet Kumar (Udaan cofounder), is likely to exit.
Incidentally, Thrasio's investment in India comes when numerous firms that are trying to replicate its strategy have secured hundreds of millions of dollars in funding in recent months, boosted by the growing acceptance of direct-to-consumer brands and broader ecommerce development.
Goat Brand Labs, funded by Flipkart's investment arm and Tiger Global; Mensa Brands, established by former Myntra CEO Ananth Narayanan; 10Club, and SoftBank-supported GlobalBees are among the major Indian businesses in the sector.