This investment was made when British International Investment was named CDC Group.
We have now exited this investment. This is what we achieved.
Achieved impact
This information will appear shortly
Expected impact
CDC made an equity investment in Daraz, alongside a €30 million investment from its existing majority shareholder, Asia Internet Holdings.
The investment formed part of our thesis that in frontier markets the formal retail and trading infrastructure will be built online first, potentially ‘leapfrogging’ the need to build large-scale bricks and mortar retail sectors.
In April 2018, the business was sold to Alibaba Group, China’s largest ecommerce conglomerate, marking CDC’s third equity investment exit.
Ecommerce platforms provide opportunities for small traders and sellers to find routes to markets and customers that they would otherwise be unable to reach. Ecommerce companies also play a part in improving the efficiency of local trading infrastructure and logistics networks.
Since our investment, the number of active small and medium-sized enterprises (SMEs) and merchants on the platform has grown by more than 13 times. Daraz has connected approximately 6,000 active vendors with over 1.3 million customers. The company has created thousands of new jobs in both those businesses and among the local supply chain.
Daraz established a programme that moves SMEs through a tiered selling system which progressively unlocks benefits, such as larger order numbers, if they comply with certain best practices, such as labour standards or corporate governance.
Our investment has enabled Daraz to make significant progress towards becoming the leading online business-to-consumer marketplace in the five countries in which it operates. In 2017, it more than doubled in size, delivering more than 2.1 million orders and attracting over 260 million site visits. The company is on track to more than double again in 2018.
Environmental and social information
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Environmental and social summary
A high-level description of the environmental and social aspects of the investment. This may include a summary of key environmental and social risks identified during environmental and social due diligence (ESDD); key elements of an environmental and social action plan (ESAP); or ways in which we plan to support the investee improve environmental and social standards, such as through their environmental and social management system (ESMS); as well as any other priority areas agreed with the investee.
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Environmental and social risk
A risk category rating, which indicates the level of environmental and social risk associated with an investment. For an explanation of the categorisations used, see here. We consistently provide an environmental and social risk category for all investments screened from 2023 onwards.
Environmental and social summary
We worked closely with Daraz to develop a Code of Business Conduct supported by a comprehensive suite of environmental and social, and health and safety policies in line with the Ethical Trading Initiative's Base Code and good international industry practice. The Code of Conduct has been embedded in company operations and Daraz is in the process of incorporating it within its supplier contracts. We believe the company is committed to continual improvements in environmental and social compliance after our exit.
Reporting and Complaints Mechanism
The Reporting and Complaints Mechanism allows anyone outside BII to report alleged breaches of the business integrity or environmental and social provisions of BII’s Policy on Responsible Investing. This includes breaches made by BII, a BII investee, or a portfolio company of a fund in which BII has invested. The Reporting and Complaints Mechanism Rules are available here. Reports and complaints can be submitted by email to [email protected] or by mail. See more details on our Reporting and Complaints Mechanism here.
For any other general enquiries contact us at [email protected]
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Key facts
- Last updated
:
When the last quarterly update of the website database occurred.
- June 2026
- Project number
:
An identifier number shared by investments in the same project.
- D162
- Status
:
The current status of the investment (green flag for active and red flag for exited).
- Exited
- Region
:
The geographical region where the country is located. We currently invest in Africa, South Asia, South East Asia and the Caribbean. In 2023, BII’s investment mandate was extended allowing it to invest in regional funds linked to Ukraine, with the majority of activity expected to begin post-war. Investments outside these regions were made prior to 2012 under previous investment mandates.
- South Asia
- Country
:
The countries where the investment delivers impact. Where impact is delivered in multiple countries, this is indicated.
- Pakistan
- Sector
:
We prioritise those sectors that facilitate development and need our capital the most. Our priority sectors contribute towards many of the Sustainable Development Goals. They range from investing in the power infrastructure that will provide people with better access to electricity, to investing in financial institutions that direct capital to the individuals and businesses that need it the most.
- Business and consumer services
- Sub sector
:
The sub-sector that the investment is made into; this provides a more granular level of detail than the ‘sector’ information
- Consumer Staples Distribution & Retail
- Investment policy :
- Growth
- Investment type :
- Equity
- Start date :
- September 2015
- End date :
- September 2023
- Amount :
- $22.36m
- Currency of investment :
- EUR
- Domicile
:
The company or investment fund’s place of incorporation.
- Germany
We provide capital in the following ways: directly – through direct equity, direct debt, guarantees and other non-intermediated financial instruments; and indirectly – principally through investment funds.
Type of investment portfolio that each investment is made under. Since 2014, we have run two investment portfolios: Catalyst and Growth. In addition, our Kinetic Portfolio enables us to manage concessional investment strategies.
For direct investments and fund investments, this is the date BII committed capital to the investments. This is typically the date on which legal agreements are signed by all parties.
For the portfolio companies of our fund investments, this is the date (either the month or the quarter) on which the fund committed capital to the portfolio company.
For direct equity investments, this is the date at which British International Investment exited the investment.
For debt investments, this is the date at which the final debt repayment was made.
For funds, this is the date at which the fund was terminated.
For underlying fund investments, this is the date at which the fund manager exited the investment.
The total amount committed, per financial instrument, per investment, on the date BII becomes subject to a binding legal obligation to provide funding or assume a contingent liability. This information is provided in US dollars.
For direct investments, this is the amount that BII has committed to the business or project. For fund investments, this is the amount BII has committed to the fund.
The currency in which the investment was made.
- Last updated
