Lu Ming, founder of E-commerce company Okaybuy, recently confirmed the completion of the company's first-round financing of US$10M led by Sequoia Capital China. He said that the money will be mainly used to fund website promotion. No detailed financial information was disclosed by either party.
Okaybuy, founded in Nov. 2007, is set to become the most competitive company specializing in the online and catalog sales of authentic brand shoes in China. Lu Ming said Okaybuy's core competitiveness lies in its unique inventory management and effective shelf management. He added Okaybuy currently has a daily sales volume of about 1,000 pairs of shoes, which is increasing at a monthly rate of 20.0%--30.0%. He predicts the sales volume will reach RMB300M in 2010.
Sequoia Capital China also invested in Zappos, a famous E-commerce company in the United States which has the same operation mode with Okaybuy. Established in 1999, Zappos pocketed a total operating income of US$1B and net income of US$625M in 2008, and was acquired by Amazon at a price of US$1.2B at the beginning of this month. The deal was the most expensive in the acquisition history of Amazon.
