Thrasio cuts stake, loses control in Indian house of brands in likely market retreat
Founders of Lifelong Online have bought back a majority ownership and control in the Indian house of brands from Thrasio in what appears to be a retreat for the "Amazon aggregator" from the key overseas market.
Existing investors of Lifelong, Tanglin Venture Partners and Hero Enterprise, also increased their ownership in Lifelong Online. Thrasio will continue to be "an active investor and a strategic partner" of Lifelong Online, the Gurgaon-headquartered startup said Thursday.
Lifelong Online served as the vehicle for Thrasio's India ambitions. The global firm acquired a majority stake in the Indian startup in early 2022 for somewhere between $150 million to $200 million, according to an earlier report by The Economic Times.
Thrasio committed to spending over $500 million to acquire businesses in India at the time. It made no other investment in the South Asian market.
"We are thrilled to embark on this new chapter and continue our journey with the support of our stakeholders," a Lifelong spokesperson said in a statement. "India presents an incredible opportunity for us, and we believe that with our combined expertise, we can make a significant impact in the market. One thing that will remain unchanged is the strong commercial and strategic partnership between Lifelong and Thrasio."
Thrasio, Razor, Perch and many other Amazon "aggregators" that raised over $16 billion, mostly in debt, are struggling to retain momentum as demand for their businesses cools and interest rates rise.