AliExpress Russia Eyes IPO Amid Economic Sanctions
AliExpress Russia, a joint venture between Chinese e-commerce giant Alibaba and Russian partners, is considering an initial public offering (IPO) despite the economic sanctions against Russia.
The company, which has been operating in Russia since 2019, said in April that an IPO was a possible step for the company. The company reported gross merchandise volume (GMV) of $847 million in 2021.
AliExpress Russia is aiming for annual turnover of $2 billion in 2023, despite the recent economic sanctions imposed on Russia by Western countries. The company had planned to raise fresh capital through an IPO in 2022, but those plans were put on hold due to the sanctions.
The sanctions have had a significant impact on the Russian economy, but AliExpress Russia said that it has been able to mitigate the impact by diversifying its supply chain and increasing sales to other countries in the region.
AliExpress Russia is the largest e-commerce player in Russia, with a market share of around 20%. The company offers a wide range of products, including electronics, clothing, and home goods.
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