Amazon.com Inc. is planning to buy a Dubai-based online retailer Souq.com FZ for about $1 billion in a deal.
The news broke out when Middle East e-commerce site initially planned to sell a stake. This could be a mere rumor, but it has shaken the stoke market. Initially the news was about just selling a stake but then the news got expanded declaring that Amazon is interested to buy the whole of it.
A spokesman for Souq.com declined to comment. A representative for Amazon didn’t respond to calls and an e-mail seeking comment.
Goldman Sachs Group Inc. was given the responsibility of finding a buyer for a share of company by Souq.com. It was also heard that the company’s existing investors — Tiger Global Management and South Naspers Ltd. were also planning to sell their holdings some said that they are already in talks with buyers.
Souq.com is online retailer and sells about 1.5 million products to United Arab Emirates, Egypt and Saudi Arabia, according to its website.
During an interview Chief Executive Officer Ronaldo Mouchawar said, “The Company would be open to selling shares to the public in the future.”
No decisions have been made but as soon we get the news we will share it with all users.
Don’t know if the news is authentic or just another rumor but its strong enough to open your eyes wide.