Emaar Malls, a leading network of shopping malls and retail businesses in the UAE, has fully acquired fashion e-commerce firm Namshi.
The retail giant majority-owned by Emaar Properties already had stakes in Namshi. However, in this newly struck deal, Emaar Malls has acquired Global Fashion Group’s remaining stake in Namshi in an all-cash transaction of nearly $129.5 million.
Emaar Malls had entered a strategic agreement with the GFG bank in 2017 when it acquired a 51% majority stake in the fashion e-commerce firm. As part of the deal, both entities have since collaborated to enhance Namshi’s product portfolio and brand value.
The full acquisition of a leading online marketplace like Namshi is expected to give Emaar Malls a perfect shot at solidifying its position in the region’s rapidly growing e-commerce market. Additionally, the move will also enhance the company’s physical retail assets portfolio.
“The remarkable growth achieved by Namshi underlines the potential for fashion e-commerce in the region, where, every day, a larger number of people shop online to meet their fashion aspirations,” said Mohamed Alabbar, Chairman of Emaar Properties, and Board Member of Emaar Malls.
He added: “With the consolidation of our stake in Namshi, we are highlighting our commitment to position Emaar Malls for growth over the next decade and to create outstanding value for all our shareholders through our omnichannel strategy.”
Launched in 2011, Namshi prides itself as the first-of-its-kind online lifestyle destination offering quality fashion and beauty products in the MENA region. It currently offers a massive selection of 700 brands including some of the most popular global brands, as well as its in-house labels.