BERLIN and BOSTON, March 5, 2024 – In a significant development in the e-commerce sector, Razor Group GmbH (“Razor”) has announced the acquisition of Perch, a prominent Amazon aggregator in the United States. This move not only strengthens Razor’s standing as a global leader in the aggregation of online marketplace consumer brands but also marks it as the industry’s top player.
Razor’s acquisition of Perch is a strategic step in its wider consolidation strategy within the e-commerce aggregator space. This follows Razor’s successful acquisitions of Factory14, Valoreo, and The Stryze Group, indicating a pattern of strategic growth and expansion.
The merger with Perch is expected to enable Razor to achieve over $1 billion in topline revenue in the medium term. It also significantly expands the company’s scale of operations. The combined entity is now set to manage an impressive assortment of over 40,000 products. These products span various online channels in North America, the United Kingdom, Europe, and Latin America, encompassing more than 30 marketplace and direct-to-consumer channels in over 10 countries.
In line with this acquisition, Razor has also initiated a Series D financing round, led by Presight Capital. This move, especially during a challenging macroeconomic climate, demonstrates strong investor confidence in Razor’s long-term vision and potential for further growth.
The new funding will be channeled towards enhancing Razor’s technological infrastructure across the supply chain. A key focus will be on harnessing recent advancements in artificial intelligence (AI) and large language models (LLMs). These technologies are seen as pivotal in achieving complete automation of Razor’s consumer-to-manufacturer (C2M) retail operations, which is expected to optimize processes, boost efficiency, and accelerate product innovation and delivery.
Christan Angermeyer and Fabian Hansen, Co-Founders and General Partners of Presight Capital, expressed their enthusiasm about the acquisition. They highlighted the transaction’s significant value and transformative potential, propelling Razor towards becoming a global technology-driven e-commerce powerhouse. They also emphasized the investment in Razor’s technology stack and capabilities, particularly under the leadership of its CTO, Shrestha Chowdhury, to advance the global marketplace ecosystem.
Tushar Ahluwalia, Co-Founder and CEO of Razor Group, remarked on the partnership with Perch. He noted that this transaction strengthens Razor’s market leadership and aligns with their strategy of building a Western counterpart to Chinese vertical C2M models like Temu and Shein. Ahluwalia underscored Razor’s commitment to investing in sophisticated technology and automation, integral to their model of deep supply-chain integration and rapid product innovation.
Chris Bell, Founder and CEO of Perch, spoke about the transformation of Perch in the last 18 months through proprietary technology and leading supply chain capabilities. He highlighted the union with Razor as a combination of the best technology and personnel from two leading industry players, setting the stage for further consolidation and growth.
About Razor Group Razor Group GmbH, based in Berlin, was co-founded by e-commerce experts Tushar Ahluwalia, Christoph Gamon, Shrestha Chowdhury, and Dr. Oliver Dlugosch. The company specializes in acquiring and operating profitable Amazon FBA businesses and other online marketplace sellers known for their high product quality, customer satisfaction, and business acumen. With a strong focus on growth capital and e-commerce and technology expertise, Razor aims to push world-class consumer products into leading marketplaces globally.
About Perch Founded in 2019 by Chris Bell in Boston, USA, Perch is a technology-driven commerce company that acquires and operates Amazon FBA and other D2C brands at scale. With around 100 brands and 5,000 products, Perch offers a diverse portfolio in various consumer goods categories. Its focus on the US Amazon sales channel and leading supply chain capabilities have made it a leader in the US Amazon aggregator segment.
