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Alhokair and ACC want in on e-commerce, and Vogacloset is their ticket inMENA

Alhokair and ACC want in on e-commerce, and Vogacloset is their ticket in

Everybody wants a piece of the e-commerce pie (or kaak, whatever you fancy) these days, and Alhokair and ACC are no exception.

Saudi retail players Fawaz Abdulaziz Alhokair Co. and Arabian Centres Company have joined forces to buy a 51% stake in Vogacloset, a UK-based online platform that sells fashion and beauty products. The deal includes a $12m direct cash injection from the buyers in Vogacloset’s capital to expand its presence in Saudi Arabia and help move Alhokair and ACC’s brands onto the popular platform.

While the investment may be in a UK-based company, it is a strategic move by Alhokair and ACC to take their businesses online (which is where all the credit card debt accumulation action is taking place these days, due to the pandemic), and therefore turbo-charge their competitive positioning in the Middle East retail market.

why it matters
Shopping mall operators in the Gulf region (like ACC) have been delaying projects due to COVID-19, so diversifying operations onto a more pandemic-friendly platform is a logical strategy to survive. So, get ready to order some of your favorite regional brands online very soon!