Two-year old Web retailer Dafiti Group said it raised $70 million from the Ontario Teachers’ Pension Plan.
In total, the Sao Paulo, Brazil-based company has brought in $255 million in capital from investors that include J.P. Morgan, Quadrant Capital Advisors and Mexico's Leon Group.
"This funding endorses the investors' trust in the potential of Brazilian fashion online retail and, consequently, in Dafiti as the leader of this segment in Latin America with our operations in Argentina, Brazil, Chile, Colombia, and Mexico," said Dafiti co-founder Philipp Povel."We will use this money to strengthen our customer service and our product assortment.”
Dafiti works with more than 800 brands in the categories of apparel, shoes, accessories, beauty, home and decor.
"Supported by a growing middle class, huge consumption potential and significant growth in online and mobile access, Dafiti is well positioned to succeed in online retail in Brazil and Latin America," said Wayne Kozun, senior vice president of public equities, at the pension, which controls $129.5 billion in net assets.
The pension fund took a stake in Michael Kors Holdings Ltd. before its December 2011 public offering and as of last count still owned 2.6 percent of the company. The investor also has stakes worth more than $75 million in Nordstrom Inc. and Coach Inc.