MadeiraMadeira, Brazil’s answer to Wayfair and Ikea, is now worth over $1 billion – TechCrunch

MadeiraMadeiraBrazil’s answer to Wayfair or IKEA is now $ 1 billion after raising $ 190 million in late-stage financing from investors led by SoftBank’s Latin American Investment Fund and Brazilian public and private investment firm Dynamo.

MadeiraMadeira, an online marketplace specializing in home products, provides nearly 300,000 products so customers can build, furnish, renovate and decorate their homes.

Established in 2009 By Daniel Scandian, Marcello Scandian and Robson Privado, The company has seen a huge tailwind in Brazil stemming from online shopping changes as a result of the global COVID-19 epidemic.

With store closures, online shopping grew in Brazil. As noted by Daniel Scandian, the epidemic in Brazil was about 7% before ecommerce penetration, the number had risen to 17% at the height of the epidemic in Brazil and now stabilized at around 10%.

Scandian said the combination of private-label goods and third-party sales with its own shipping and logistics facilities meant Mediramidira could take best practice from many online retailers and home furnishing stores.

The MadeiraMadeira platform has more than 10,000 vendors and approximately 2.5 million stock-keeping units. In recent years the company has added showrooms to a mix of retail facilities, where customers can check out merchandise, but fulfill their orders online.

“This is the way we can deal with the offline market with a digital mindset,” said Scandian.

The most recent financing money will be used to invest in expanding its logistics capabilities with the addition of new warehouse facilities to expand to its existing ten locations. The company also wants to add same-day delivery and expansion of its private label services.

The new capital is likely to be the last round before a potential public offering, involving previous investors Flybridge And Monashys with public-focused investment firms Welt, Brasil Capital and Lovewood.

Early investors such as angel backers like Monashi, Kaszek, Fundo Avila, Endeavor Catalyst and Neeraj Shah Wayfair, Scandian said Christian Freedland, founder of Build.com, would play a key role in the early success of Madiramidera.

Based in Curitiba, Madeiramadera has more than 1300 employees, most of which have focused on technology, logistics and product development.

“With this new investment, we are increasing our commitment to MediMiradera’s vision of long-term value creation as the company strengthens its position as a leader in the Latin American household goods market. Since our initial investment, Mediramadera’s management team has given everything they promised, and our confidence in them continues to grow, ”said Paulbo Pasoni, investment partner for SoftBank Latin America Fund.