A BELFAST e-commerce start-up which automatically picks, packs, stores and ships online products is celebrating securing the biggest-ever tech investment in any Northern Ireland company.
Stellar-growth e-commerce fulfilment company Selazar, founded just three years ago, has been given a £20 million cash injection from a large global investment group, which will help fast-track its global expansion.
And part of that growth means that customers will be able to transfer stock between international warehouses, which has the potential to ease some of the pain that has resulted from Brexit, as it will simplify processes and reduce costs, currently a friction point for its larger clients.
The new capital injection will also benefit Selazar's existing local investors Foresight Group and Co-Fund NI and will realise gains of more than five times their initial investment as they sell their shares as part of the new deal.
Selazar, which has a team of more than 30 staff across its existing offices in London and Castle Donington, says it intends to quadruple its global headcount in the next year to support the rapid growth and will also offer new financial services for its customers.
The company has developed an innovative proprietary e-commerce fulfilment platform and primarily services medium to enterprise-sized retailers throughout the UK.
Its chief executive Jack Williams said: “This significant new investment will see us embark on the next stage of our journey and expand internationally.
“Not only will it fund the opening of eight new warehouses, but it will also allow us to develop further our proprietary fulfilment technology and support customers trading in the UK, US, Europe, and Latin America.
“Above all, the investment separates Selazar from other third-party logistics providers and means we will be a one-stop e-commerce fulfilment shop for retailers wanting to set up business in the US, Europe, and beyond.”
Chris Trotter, investment manager at local venture capital firm Clarendon Fund Managers, which manages Co-Fund NI (part of Invest NI’s Access to Finance portfolio) said: “Selazar has expanded rapidly over the past 18 months following exceptional demand from their e-commerce customers.
“We are proud to have supported the Selazar team and are delighted that, from their Belfast base, they will now be operating a global fulfilment network. We are also pleased this investment has provided excellent financial returns to Co-Fund NI and a group local angel investors.”
Invest NI has offered the company with £93,000 of R&D support towards the development of its platform.
The company has also received funding from the £5m Covid-19 Equity Investment Fund (CEIF), launched by Invest NI as part of its Access to Finance portfolio.
William McCulla, director of corporate finance at Invest NI, added: “We’ve worked closely with Selazar since it was established in Belfast, helping it to develop its e-commerce platform.
“I’m pleased we were also able to support the company’s growth through a combination of Access to Finance support from Co-Fund NI and CEIF.
“This has helped Selazar get to the stage where it can take advantage of such a significant investment and has provided us with a very positive return on our investment. I look forward to seeing where this takes the company.”
The global investment group financing Selazar will acquire all shares from existing investors.
It is committed to growing sustainable and socially equitable businesses that have a tangible impact on the lives of its partners, employees, and communities.
