United Arab Emirates-based online retailer Souq.com has raised US $ 275 million funding from international investors, to strengthen its technology, like payment processing, to help increase the scale of its operations by enhancing logistics, and hire more employees. The company will also utilize this fund to launch new product categories (beauty and fashion).
Ronaldo Mouchawar, Chief Executive Officer of the company said, “The start-up scene has changed so much since Souq launched over 10 years ago, and the size and scope of this kind of funding is encouraging for entrepreneurs.”
He further informed that the company has also made small acquisitions over the time and would continue to do so in future as well.
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The e-commerce giant of Middle East region, which trades fashion, household goods among others, averred that investors partaking in the funding round comprised Tiger Global Management, Naspers, Standard Chartered Private Equity, International Finance Corporation and Baillie Gifford. “The e-commerce market in the Middle East is growing very fast and is expected to reach US $ 20 billion this year,” Mouchawar explained.
Set-up around 11 years back as an auction site, Souq.com has advanced into a retailer and a marketplace for third-party sellers. It attracts more than 24 million unique visits per month, the company claims.
