noon.com, a Riyadh-based e-commerce marketplace in the Middle East, has acquired Namshi, a UAE shopping platform.
The acquisition is effective immediately making Namshi a part of noon’s digital ecosystem.
The acquisition of Namshi will expand noon’s digital ecosystem of products and services to include more fashion and lifestyle offerings for the region’s consumers. noon will continue to support Namshi’s growth as an independent entity within the company.
CTO of the noon Group and co-founder of Namshi, Hisham Zarka, said: “Namshi is an early pioneer of e-commerce in the region, having launched twelve years ago when regional e-commerce was in its infancy.
“Thanks to continued growth under Emaar over the past 5 years, it has cemented its position as a leading regional e-commerce platform. We’re very excited to support Namshi’s next phase of success by welcoming them into the noon ecosystem.”
With more than 1,200 brands, Namshi has quickly established itself as a well-known local brand. The online retailer, launched in 2011, serves customers in the UAE, Saudi Arabia and other countries in the region.
“As we embark on a new adventure together, it feels like a homecoming for many of us who have a special place in our hearts for Namshi,” said Mr Zarka.
“We know that both noon and Namshi have a long way to go, but that just means that the opportunity ahead remains immense. We are grateful to wake up each day to work on interesting challenges with a great team in a dynamic market, and we hope to make the most of this opportunity to create opportunities for others. This merger will enable Namshi to make deep and long-term investments, and in the months and years to come, our customers and partners can look forward to better assortment, pricing, and service as these investments are realised.”
Namshi will remain a separate entity, able to leverage noon’s extensive logistics and fulfilment networks, fleet and e-commerce expertise as needed.
The acquisition, approved last month by the Saudi General Authority for Competition, aligns with noon’s objective of becoming the Middle East’s digital leader and expanding an ecosystem of products and services to regional customers.
In addition, the move is hoped to boost the local digital economy and foster the rise of local companies and talent.
“This acquisition is a great opportunity for both noon and Namshi,” said Dhruv Paul, Group General Counsel of the noon Group. “It allows us to reach out to new audiences while offering them unique products from an incredible brand with world-class service, powered by noon,” added Mr Zarka.