San Francisco-based venture capital firm Valar Ventures Management led a $10.47 million round of financings in the up-and-coming Brazilian furniture e-commerce store, Oppa, according to securities filings obtained by The New York Times. It is the firm's first venture into Brazil. Monashees Capital, based in São Paulo, Kaszek Ventures and Thrive Capital joined Valar in the investment.
Valar Ventures Management was founded last year by PayPal co-founder Peter Thiel, who is one of three partners there.
Aiming to be the Brazilian equivalent of the Swedish furniture design and retailer Ikea, almost, the São Paulo-based Oppa deals strictly in e-commerce, bypassing expenses associated with store showrooms, according to an interview with Founder/CEO Max Reichel as told to Brazil Venture Capital and Growth Equity. In addition to its lower prices, shipping is free and customers can pay in ten installments.
Creations are exclusively by Brazilian designers.
Oppa's biggest competitor, Tok & Stok, recently made the news when it sold a 60 percent stake to the Carlyle Group for $347 million. Founded in 1979, Tok & Stok has 35 stores in Brazil with 3,300 employees. As reported by the Times, it generated about $495 million in sales last year.
Pending approval of the deal by Brazilian regulatory authorities, Tok & Stok will focus on e-commerce as part of its growth plans, according to a Carlyle spokesperson, as told to the Times.
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