Online retailer evoMAG attracts EUR 2 mln investment from Catalyst Romania
evoMAG, one of the pioneers of the Romanian online retail market, has drawn an investment of EUR 2 million from Catalyst Romania, one of the most important venture capital funds in the region. This is the first large investment that evoMAG has received since its launch, more than 15 years ago.
The company, which expects a EUR 40 mln turnover this year, will use the funds to expand in the Romanian and international markets, accelerating its offline development with two new showrooms.
“The capital infusion will allow us to take evoMAG to a new level of development, both on the Romanian market, online and offline, but also outside the country,” said Mihai Pătrașcu, founder and CEO of evoMAG, in a press release.
The investment will be used to secure access to as many relevant marketplace platforms as possible. It will also allow evoMAG to inaugurate two new showrooms in the next two years. The company plans to double its product portfolio in the next 3 years, with new categories, increased storage space, and complex operational processes.
“We are happy to join the evoMAG story and we believe that, together, we will succeed in accelerating the company’s development plans,” said Alin Stanciu, Partner at Catalyst Romania.
Last year, evoMAG registered sales of EUR 34 mln, up from 2020, when the company marked a 46% growth - the highest in recent years. The company had an average annual growth of 25% in the last two years.
The company is counting on a turnover of around EUR 40 mln in 2022, with sales peaks in mobile phones, TVs, PC components, and electric vehicles segments. To aid its growth in sales, evoMAG will invest in reducing delivery times. 90% of all orders are currently delivered within 24 hours. By the end of the year, the company wants the figure to stand at 95%. evoMAG’s growth will require new hires, and the company aims to increase its team to over 100 employees soon.
(Photo source: evoMAG)