Aggregator Razor acquires Stryze Group

Ecommerce aggregator Razor Group has taken over German competitor Stryze Group, another acquisition company. The deal was made with shares only. In addition, Razor Group has raised 80 million euros of funding.

Razor Group, founded in 2020, is an ecommerce aggregator. This business model consists of acquiring successful marketplace merchants to scale their company.

‘Strategy to drive market consolidation’

The acquisition of Stryze Group is part of Razor’s “(…) strategy to capitalize on the current macro environment to drive market consolidation”, according to Razor Group. By doing so, the company aims to become the ‘consolidator of consolidators’. In the past year, Razor has also acquired fellow aggregators Valoreo from South America and Factory14 in Europe.

80 million euros of funding

In addition, Razor Group has raked in an additional 80 million euros of funding. At the end of last year, the brand holding company had previously raised over 60 million euros to further grow its portfolio. Currently, Razor Group owns over 200 brands and is valued at around 1 billion dollars.

‘Building a stronger company by joining forces’

“The e-commerce market has changed dramatically over the last 12 months. With less liquidity available to private companies overall and inflation impacting retail margins, it is important for smaller e-commerce aggregators to join forces with market leaders like Razor that have a strong balance sheet, technology platform and proven economies of scale globally,” says CEO Billy Libby from Upper90, which took an equity investment in Razor.

“The natural route is consolidation.”

“It makes sense right now for smaller players to become a part of Razor Group,” CEO and co-founder Tushar Ahluwalia from Razor told TechCrunch. “The natural route is consolidation, and that is the path forward. We’re building a stronger company by joining forces.”