LONDON — Apax Partners is looking at digital fashion and luxury from a number of perspectives, and not just focusing on the glamorous front end.
This week, the global private equity firm said its Apax Partners midmarket Israel fund, or AMI, a private equity fund that invests in buyout investments in Israel, has taken a stake in Global-e.
AMI has invested $20 million in Global-e, a top provider of cross-border e-commerce solutions with more than 100 brand partners in Europe, North America and Asia. Global-e works with the likes of Marks & Spencer, Charles Tyrwhitt, Monsoon/Accessorize, Etam and Zadig & Voltaire.
Although the size of the stake has not been disclosed, AMI is understood to have taken a minority share in Global-e, which helps brands and retailers to offer localized, online shopping experiences to more than 2 billion consumers internationally.
Its services include converting prices to local currencies, calculating taxes, offering fraud prevention and operating merchandise exchange centers.
Founded in 2013, Global-e has 150 employees. Its European headquarters is located in London and it also has offices in Paris and Barcelona. Its North American HQ is in New York and it also has an outpost in Los Angeles. Its R&D centers are located in Israel and Ukraine.
Global-e said it will use the funding from AMI to support continued expansion and will benefit from Apax Partners’ “significant experience” in online and offline retail.
The digital company cited forecasts saying that the international e-commerce market is expected to reach more than a trillion dollars by 2020, and it wants to be part of that expansion story.
“We are in the midst of a rapid growth period, fueled by the growing demand for our services from leading brands and retailers. There is a perfect fit between Global-e’s vision and growth trajectories and Apax Partners’ global focus and capabilities,” said Global-e’s cofounder and chief executive officer, Amir Schlachet.
Over the past year, Apax Partners and its various divisions have been putting a focus on fashion and retail. Last September, Apax Investments took a majority stake in Matchesfashion.com, beating out Permira and KKR in a deal that valued Matches at 800 million pounds, according to sources.
A few months later, Apax Digital took part in a $165 million investment in Moda Operandi alongside the Hong Kong investor Adrian Cheng. Moda said it plans to use the money to expand its international business, with a particular focus on the Asian and Middle Eastern markets.