Shopify eases concerns over fulfillment network changes, shares rebound

Shopify eases concerns over fulfillment network changes, shares rebound

1/25/2022 6:35:00 AM

Shopify eases concerns over fulfillment network changes, shares rebound

Canada's Shopify Inc said on Monday proposed changes to its fulfillment network would help merchants on its ecommerce platform compete better with big retailers and would not reduce capacity, fueling a recovery in its shares.

The logo of Shopify is seen outside its headquarters in Ottawa, Ontario, Canada, September 28, 2018. REUTERS/Chris Wattie//File Photo(SHOP.TO)Shopify provides infrastructure for retailers to set up their stores online and generates revenue mainly through subscriptions and merchant services. It has benefited from the widespread shift to e-commerce during the pandemic.

But a recent sell-off in technology stocks in the face of expected higher interest rates, coupled with concerns about Shopify's fulfillment network had slammed the shares.Shares of the Canadian company rose 7% on Monday following the statement. They had fallen nearly 9% to an 18-month low, weighed down by a

Read more: Reuters »

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