BERLIN Feb 22 Swedish investment company
Kinnevik said on Wednesday it is selling at least
half of its 13 percent stake in German e-commerce investor
Kinnevik said in a statement it planned to sell 10.9 million
shares via a placing but it reserved the right to increase that
amount. Rocket Internet's share price closed down 2.1 percent
shortly before the announcement of the sale.
Founded by brothers Oliver, Alexander and Marc Samwer in
2007, Rocket has built up dozens of start-ups from fashion
e-commerce to food delivery, in an attempt to replicate the
success of Amazon and Alibaba in new markets.
However, some investors have become concerned over heavy
losses as well as delays to planned listings and its share price
has tumbled since a fundraising last year with Kinnevik which
slashed the valuation of their Global Fashion Group (GFG) online
Kinnevik was one of the first investors in Rocket and is the
firm's second-biggest shareholder after the Samwer brothers who
have a 37 percent stake. Kinnevik also has stakes in a number of
Rocket's major start-ups.
Analysts had predicted that Kinnevik would eventually part
ways with Rocket as Kinnevik shifts its investments into
education, financial technology and healthcare.
Last year two Kinnevik representatives stepped down from the
Rocket supervisory board members, with both sides saying that
was to prevent conflicts of interest as Rocket moves from being
an incubator for new Internet-based businesses to being a more
general investment firm in online companies with a model similar
Rocket has been forced into a number of so-called
downrounds, cutting valuations for several start-ups when
raising new funds, most recently for Home24.
(Reporting by Emma Thomasson; Editing by Greg Mahlich)