Thrasio adds $750 million to acquire Amazon sellers

Consumer products startup Thrasio said it has raised $ 750 million to continue acquiring third-party sellers on Amazon . The round brings the Walpole, Massachusetts-based company’s total funding to $1.75 billion , most of which has been raised in the past year.

The round was funded almost entirely by Thrasio’s existing investors, including Advent International and Oaktree Capital Management, and comes on the heels of a $500 million debt financing the company announced in January, which was led by banks including JPMorgan Chase and Goldman Sachs.

"You know what they say is the best time to raise money? It's when they have enough investors asking for a round that's five times the size of the original round," co-founder and co-CEO Josh Silberstein said in an interview.

Thrasio did not disclose its valuation, but Bloomberg reported in January that the Massachusetts-based company had raised $500 million in Series C funding that valued the company at $3 billion .

The additional funding will allow the company to acquire larger businesses with revenues of up to $200 million, compared with a previous cap of $40 million . In recent months, Thrasio has been buying an average of two to three new companies a week. It will also allow the company to invest in expanding those businesses, in part by expanding its sales operations internationally and in channels outside of Amazon.

Thrasio has acquired about 100 third-party Amazon sellers since it was founded in 2018. It now sells about 14,000 items on the largest U.S. e-commerce site , with bestsellers including massage guns , trekking poles and everything in between.

With each new company, Thrasio will boost sales and profits by upgrading marketing , supply chain and other operations. Last year, Thrasio said it generated more than $100 million in profits on sales of $500 million .

The company’s rapid success has helped usher in a new gold rush in the Amazon ecosystem , with entrepreneurs and investors scrambling to attract third-party sellers, who generate about 60% of product sales on Amazon .

The latest entrant is Branded E-Commerce Group, led by Lazada co-founder Pierre Poignant and former SoftBank partner Michael Ronen, which announced on Tuesday that it has raised $150 million to acquire Amazon third-party sellers.

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Thrasio