The 11-year-old company continues to receive immense financial support from China-based Alibaba Group Holding Ltd., which in April increased its ownership in Trendyol to 86.5 percent after buying a majority share in 2018, according to Reuters.
According to unnamed sources cited by Bloomberg, Trendyol is in discussions to raise approximately $1.5 billion from various investors, including General Atlantic and SoftBank Group Corp., and could wrap up the proceeding by early August.
The latest funding round is expected to make Trendyol the only Turkish firm valued above $10 billion, according to Bloomberg.
In addition to its eCommerce platform, Trendyol operates a research and development center, Trendyol Tech; a transport network, Trendyol Express; a food and grocery service, Trendyol Go; and Dolap, a platform for previously owned goods, according to the company’s website.
Buoyed by a dramatic increase in online shopping amid the pandemic, Trendyol is not the only Turkish online shopping platform experiencing rapid growth. Earlier this month PYMNTS reported that Turkish firm Hepsiburada reached a $1.9 billion valuation after its initial public offering. The company has said it plans to expand its services by including options like travel booking and money transfers. Hepsiburada intends to use funds to broaden its offerings beyond Turkey.
According to a report, a total of 347 million products were sold on Trendyol in 2020. The eCommerce platform grew from 9.2 million active users in 2019 to more than 19 million in 2020.
In addition, Trendyol’s gross merchandise value has surged approximately 20 times in the last three years and is pacing to reach $10 billion this year, according to Bloomberg.