Razor Group announced it had acquired Perch (the leading Amazon aggregator in the US), and the company revealed a Series D funding round.
Perch Acquisition
The acquisition of Perch solidified its position as the global leader in aggregating online marketplace consumer brands and created the industry’s #1 player.
This acquisition is part of Razor’s broader consolidation strategy. And the deal highlights its capability to act as a major consolidator within the global e-commerce aggregator ecosystem, following the successful acquisitions of Factory14, Valoreo, and The Stryze Group.
This deal paves the way for Razor to reach over $1 billion in revenue in the medium term, add significant scale to its operations, and create a highly profitable global technology and e-commerce powerhouse. And the new combined entity will manage over 40,000 products across key brands selling on 30+ marketplaces and direct-to-consumer channels in 10+ countries across North America, the United Kingdom, Europe, and Latin America.
In connection with this acquisition, Razor also announced a Series D financing round, led by Presight Capital. This new funding round underscores investors’ strong confidence in Razor Group’s long-term vision and potential for further growth.
The additional funding will further invest in Razor’s technology infrastructure throughout the supply chain. Plus, recent developments in AI and the emergence of large language models (LLMs) present a valuable opportunity to achieve complete automation of Razor’s consumer-to-manufacturer (C2M) retail operations, optimizing processes, improving efficiency, and driving faster product innovation cycles and delivery.
KEY QUOTES:
“The e-commerce aggregator space will undergo continued consolidation in the medium-term, driven by the current macroeconomic environment. The acquisition of Perch is a highly value-accretive and transformative transaction on Razor’s path to becoming a global technology-driven e-commerce powerhouse. Presight is delighted to lead this funding round and continue to support Razor on its future growth path. With this sizable investment, we are also doubling down on Razor’s technology stack and capabilities, led by its CTO Shrestha Chowdhury, to power the global marketplace ecosystem.”
- Christan Angermeyer and Fabian Hansen, Co-Founders and General Partners of Presight Capital
“We are excited to partner with Perch, the leading US player in our space. The transaction further strengthens our market leadership, solidifying Razor Group as the #1 player globally. In contrast to our peers, our focus has been to build the Western response to Chinese vertical C2M models like Temu and Shein, rather than an internet version of P&G. Therefore, our secret sauce has been to invest in sophisticated technology automation to ensure deep supply-chain integration and hyper-fast product innovation cycles right from the start, a prerequisite to making the model work and seeing us develop the industry’s leading automation stack. With the ongoing advancements in AI and LLMs, that work continues.”
- Tushar Ahluwalia, Co-Founder and CEO at Razor Group
“Over the past 18 months, Perch has transformed its business through our proprietary technology, machine learning-based decision engine, and leading supply chain capabilities, creating one of the first large-scale, cash flow positive players in our space. This combination with Razor, which will combine the best technology and people across two top players in our industry, creates a clear global platform for the next stage of consolidation and growth.”
- Chris Bell, Founder and CEO of Perch
