ZIGZAG Acquisition, Valuation, Funding & Investors

ZIGZAG was acquired by Kakao for $900M in April 2021, a 25.7x multiple on $35M of revenue.

ZIGZAG acquisition price

$900M

Acquired by Kakao · Apr 2021

ZIGZAG revenue at acquisition

$35M

Last twelve months · Apr 2021

ZIGZAG revenue multiple at acquisition

25.7x

EV/Revenue · Apr 2021

Cumulative funding ZIGZAG raised

$9M

across 2 funding rounds

ZIGZAG Overview

About ZIGZAG

ZIGZAG is a Seoul-based mobile app that serves as a fashion meta-search engine for women across thousands of Korean online stores. The platform personalizes style recommendations, bookmarks favorite shops, and syncs retailer inventories with real-time pricing updates. ZIGZAG automates item matching to its interface, transforming fast fashion discovery in South Korea. Users browse tailored search results effortlessly, supporting the country's dynamic apparel market.


Founded

2012

HQ

South KoreaSeoul

Website

zigzag.kr

Status

Acquired

Customer focus

B2C

Revenue model

Advertising

Revenue

$35M (Apr 2021)

Valuation

$900M (acquired Apr 2021)

ZIGZAG Acquisition

ZIGZAG was acquired by Kakao for $900M on 15 April 2021.

The acquisition price implies a 25.7x revenue multiple on $35M of revenue.

Before the acquisition ZIGZAG had raised $9M across 2 funding rounds.

ZigZag, operated by Croquis and founded in 2015, is a South Korean AI-powered fashion shopping app popular among women, particularly those in their 20s, offering personalized recommendations from over 4,000 online shops and brands. It had amassed over 30 million downloads and around 3 million monthly active users by end-2020, with transaction volume growing from 200 billion won in 2016 to 750-800 billion won in 2020, expected to exceed 1 trillion won in 2021. On April 14, 2021, Kakao Corp announced plans to acquire Croquis by spinning off its Kakao Commerce style business division and merging it with Croquis to form a new joint venture, Kakao Style, launching July 1, 2021, under Croquis CEO Seo Jung-hoon. The deal, valued at around 1 trillion won by industry estimates, aims to combine ZigZag's fashion big data and customer experience innovations with Kakao's technology and content to create a leading e-commerce platform targeting global expansion into Asian markets like China and Japan. This acquisition fits Kakao's e-commerce diversification strategy amid South Korea's booming online retail sector, following its decision not to bid for eBay Korea and amid competition from players like SSG.com, which acquired W Concept. The merger is expected to leverage synergies for enhanced mobile shopping across demographics.

ZIGZAG acquisition details
AcquirerDateTypePriceEV/Revenue
15 Apr 2021Strategic M&A$900M25.7x

ZIGZAG Funding History

ZIGZAG has raised a total of $9M across 2 funding rounds.

ZIGZAG's first fundraising round was a $3M Series B in April 2016. The most recent completed round was a $6M Series B in May 2017.

ZIGZAG funding rounds

ZIGZAG funding rounds
DateStageInvestorsRaised
May 2017Series BAltos Ventures (lead); Stonebridge Ventures (lead)$6M
Apr 2016Series BAltos Ventures$3M

Who has invested in ZIGZAG?

2 investors have backed ZIGZAG across its funding rounds, including Altos Ventures and Stonebridge Ventures.

Lead investors include Altos Ventures and Stonebridge Ventures.


ZIGZAG Investors

Investors in ZIGZAG by funding rounds participated
InvestorHQRoundsRoleFirst check

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ZIGZAG Competitors

ZIGZAG competitors include listed companies like Hepsiburada and Bxn Holding, and private ones like OpenStore, Tiki, Ule and Fanli.

Public and private companies comparable to ZIGZAG
CompanyHQStatusRevenueEBITDAValuationRevenue Multiple
HepsiburadaTurkeyTurkeyPublicly listed$1.7B($51M)$957M0.3x
Bxn HoldingChinaChinaPublicly listed$771M$100M$836M0.8x
OpenStoreUnited StatesMiami, FLPrivate--$970M-
TikiVietnamHo Chi Minh CityPrivate--$832M-
UleChinaShanghaiPrivate$13M-$830M63.8x
FanliChinaShanghaiPrivate--$820M-

ZIGZAG Public Comps

ZIGZAG is no longer listed, but its public comps include Brainbees Solutions, Boozt, Jumia Technologies AG, Chancemate, Hepsiburada, Bxn Holding, CEWE Group, Apotea, QVC Group and SFC Holdings.

Last FYEV/RevenueEV/EBITDA
RevenueEBITDALast FYLTM2027ELast FYLTM2027E
Brainbees Solutions$866M$29M1.1x1.0x31.8x23.1x
Boozt$845M$71M1.1x1.0x13.0x10.3x
Jumia Technologies AG$189M($51M)4.8x4.2x(17.8x)(26.4x)
Chancemate$160M$19M3.7x4.3x30.9x28.1x
Hepsiburada$1.7B($51M)0.5x0.3x(15.8x)28.7x
Bxn Holding$771M$100M0.8x0.8x6.4x6.0x
CEWE Group$1B$160M0.8x0.9x5.3x5.3x
Apotea$735M$47M1.1x1.0x17.6x14.3x

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Common questions about ZIGZAG

When was ZIGZAG founded?ZIGZAG was founded in 2012.
Where is ZIGZAG headquartered?ZIGZAG is headquartered in Seoul, South Korea.
Is ZIGZAG publicly listed?No, ZIGZAG was acquired by Kakao in April 2021.
Who acquired ZIGZAG?ZIGZAG was acquired by Kakao in April 2021.
How much was ZIGZAG acquired for?ZIGZAG was acquired for $900M in April 2021, a 25.7x revenue multiple.
How much funding has ZIGZAG raised?ZIGZAG has raised $9M across 2 funding rounds.
What was ZIGZAG's last funding round?ZIGZAG's last funding round was a $6M Series B in May 2017, led by Altos Ventures and Stonebridge Ventures.
Who are ZIGZAG's investors?ZIGZAG's investors include Altos Ventures and Stonebridge Ventures.
Which companies are comparable to ZIGZAG?Companies comparable to ZIGZAG include Hepsiburada, Bxn Holding, OpenStore, Tiki, Ule and Fanli.

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