The Gloves Are Off: Emaar Has Just Bid $220 Million HIGHER Than Amazon To Try And Takeover Souq.com
One of the biggest stories to hit the UAE this week was that the sale of Souq.com to electronic commerce and cloud commuting company Amazon was back on (after seemingly being shelved back in January) and the mammoth American retailer Amazon was purchasing Souq.com for $580 million.
Yesterday however, ArabianBusiness.com reported exclusively that Dubai’s Emaar Malls have put in a bid of $800million for the same offer – a complete 100% take over of the business.
The huge offer from Emaar cannot be accepted just yet…
Souq.com is still in talks with Amazon and an exclusivity clause means Souq.com, also known as the Amazon of the Middle East, cannot accept other offers while talks are ongoing. The sudden and unexpected offer from Emaar, a full $220 million higher than the Amazon offer will put a question over any immediate sale however.
Amazon will now face fierce competition in the Middle East
Prominent UAE business man and Emaar chairman Mohamed Alabbar was expected to launch his own $1billion e-commerce company Noon in the next couple of weeks. The news of this sudden Emaar bid to takeover Souq.com may scratch those plans, but it’s clear the battle for the number one e-commerce retailer in the MENA region is well underway.
