The investment round, participated by Shinhan Capital, Company K Partners, Daol Investment, and two other undisclosed investors, takes Balaan’s cumulative funding to $51.5 million since its inception in 2015 founded by Choi Hyung-rok, Jacob Kwak, and Park Joonhong.
Balaan’s claimed business proposition is that is allows customers to get the latest luxury goods in three days at a lower price than overseas by contracting with European boutiques. Luxury brands sold on the platform include Comme des Garcons Play, Balenciaga, Miu Miu, Burberry and Versace.
The capital will be used to improve its trading structure, including introducing new services such as Balaan Express rapid delivery and gift-giving functionality. The company aims to grow annual turnover from $220.6 million last year to more than $700 million this year. Transactions in the first half of this year topped $267 million.
”We plan to strengthen our position as a luxury sales marketplace and use the investment to find new sources of revenue,” said Choi Hyung-rok, CEO of Balaan, in a statement. Balaan plans to enter Japan and several Southeast Asian markets next year, according to Maeil Business Newspaper.
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