BEIJING — Fung Investments, the private investment arm of the families of Victor Fung and William Fung, has announced a $35 million investment into ShopX, an Indian B2B e-commerce platform.
Founded by Amit Sharma and Apoorva Jois in May 2015, ShopX describes itself as a one-stop digital solution for the 12 million-plus small merchants in the country, facilitating ordering, delivery, payments, localized customer support and more. Its current network includes 50,000 retailers in more than 300 locations across the country.
“The ShopX model provides small retailers access to the same cutting-edge technology and supply chain solutions as any established e-commerce or organized retailer,” said Nandan Nilekani, an early investor in ShopX who backed the venture with $18 million. “This access provides an onboarding ramp into the formal economy for millions of India’s small retailers and the next 400 million consumers. ShopX has been built on scalable and sound business principles like platform thinking, capital efficiency and a sustainable growth model.”
Victor Fung, chairman of Fung Group, said: “Given the country’s sheer population size and rising consumer spending power, not only do we see tremendous opportunity in India, but also the successful application of this model to other parts of the region.”
India’s retail market is set to reach $1.1 trillion by 2020, according to Deloitte research, with 90 percent of the retail sector made up of small to medium-sized businesses.
Fung Investments recently inked a deal with China’s JD.com to develop AI-driven retail solutions, in addition to striking a partnership with Shima Seiki, the Japanese company behind the world’s most advanced computerized flat knitting machines to conduct specialized materials R&D.