Amazon has resumed talks to acquire UAE-based online marketplace Souq.com for up to USD 650 million, Bloomberg reported citing sources familiar with the matter. The company and India’s Flipkart Online Services earlier walked away from discussions after disagreeing on price. Discussions were resumed over the past few weeks. The sources said Amazon was the only company involved in talks after other bidders, including mall-operator Majid Al Futtaim pulled out, the people said. A deal hasn’t been agreed and talks may fail again, they said.
Souq.com was valued at USD 1 billion in its last funding round, sources said in April 2015. The retailer raised USD 275 million, making it the most valuable internet company in the Middle East, according to Standard Chartered, which has invested in the company. Souq.com’s existing investors include Tiger Global Management and South Africa’s Naspers. The company hired Goldman Sachs Group to find buyers for a stake last year, people said at the time. A representative from Souq.com didn’t respond to requests to comment. An Amazon spokesman said the company doesn’t comment on rumours or speculation.
