Emaar considers selling online fashion brand Namshi
Dubai developer looks set to reverse its 2019 acquisition, after earlier moves to reduce shareholding
In a statement to Dubai Financial Market (DFM), Emaar has announced that its board will meet this week to discuss the sale of online fashion retailer, Namshi. This follows reports last year that Emaar was looking to sell a 50% stake in the e-commerce retailer it fully acquired in 2019. The property giant had owned a 51% stake since 2017.
Emaar has recently undergone significantly new dynamics in terms of its share ownership, with Dubai Holding, the investment vehicle of HH Sheikh Mohammed bin Rashid Al Maktoum, now the second largest shareholder.
The move to shed Namshi is most likely a reflection of new investment focus, as Emaar’s property interests return to strength in the post-pandemic era. The company has recently posted near-record performance for H1 2022; led by strong figures from its core property development business, Emaar recorded first half revenue of $3.696bn, representing a growth of 10% compared to H1 2021.
The successful launch of properties, both in the UAE and international markets, and concerted focus on sales of under-construction projects resulted in a record first half group property sales of $4.81bn, an increase of 5% compared to H1 2021 sales of $4.58bn, it said.
In 2021, Emaar Properties and Avaya collaborated to roll out a digital buying experience for real estate in Dubai.
Namshi was founded in 2011 by e-commerce entrepreneurs including Hosam Arab, who is now CEO and founder of split-payment firm Tabby. Namshi bills itself as ‘your leading online shopping website for fast, reliable, and simple online shopping in the UAE’.
In April, Emaar said it would handover 8,500 residential units by year end.
