Thursday, 06 July 2017

Amazon seems it would halt its negotiations to establish a logistics centre in Egypt with a number of local firms, one day after the U.S. e-commerce giant had completed the purchase of

Following Souq acquisition deal, the U.S. giant has expressed neediness to study the market changes and available investment opportunities in Egypt without demonstrating whether to continue the anticipated logistics centre talks or not, sources with knowledge told Amwal Al Ghad on Thursday.

Amazon has completed its purchase of Souq, the 12-year-old e-commerce company sometimes called the Amazon of the Middle East announced Wednesday. The U.S. firm reportedly paid $580 million in cash for the Dubai-based online retailer.

Souq, led by its founder, Syrian entrepreneur Ronaldo Mouchawar, sells nearly 2 million products — books, electronics, toys, home products, and more — to customers in countries such as United Arab Emirates, Egypt, and Saudi Arabia.

Amazon has started talks with a number of Egyptian firms earlier in March to establish the logistics centre.

Experts believed that the centre could have made Amazon’s products become available for Egyptians in a much easier way, and more importantly given Egyptian products more access to global markets.

© Amwal Alghad 2017