Mumzworld, the largest mother, baby & child (MBC) e-commerce platform in the Middle East, has signed a Sales and Purchase Agreement with Tamer Group of Saudi Arabia, for Tamer’s proposed acquisition of a majority stake in Mumzworld.
Tamer Group is one of the largest regional healthcare distributors with its consumer and nutrition divisions and logistics services. Tamer’s annual turnover is SR9.2 billion ($2.5 billion) with a CAGR (Compound Annual Growth Rate) of 11%.
Mumzworld and its founders are pioneers of ecommerce focused on the mother, baby &child vertical in the Middle East. The company’s vertical market leadership spans across the entire GCC and the Levant. Importantly, the brand has become the gateway into the Middle Eastern household.
The proposed transaction follows 10 years of stellar growth by Mumzworld, founded in late 2011 by CEO - Mona Ataya, and CCO - Leena Khalil. The company has demonstrated how to build a scaled ecommerce vertical efficiently with gold standard metrics and utilizing relatively limited resources.
Mumzworld has shaped the very ecosystem in which it operates. The transaction is a significant win and achieves several regional firsts:
• First regional, homegrown ecommerce company acquired by a Saudi, strategic giant;
• Mumzworld - a company built for the region, acquired by the region –now set for an expanded footprint
• First, regional woman-led ecommerce transaction – the leaders of Mumzworld were pioneers in the space and have been instrumental in shaping the changing landscape and disrupting the ecosystem
Mumzworld’s choice to partner with a regional player is a deliberate one, as it allows the company to continue to grow in key regional markets and expand its digital footprint leveraging the many synergies and complementary strengths of Tamer. The transaction also bolsters the significance of digital channels for large conglomerates in the region.
The transaction will give Mumzworld access to a large, committed pool of capital that will allow the business to supercharge its growth. Tamer will also help further institutionalise the business, and use Tamer’s portfolio companies to spur organic growth of Mumzworld.
Mona Ataya, CEO of Mumzworld, said: “We are delighted to join the Tamer Group, having created the Middle East’s largest female-led ecommerce business. We have recorded 10x growth over the last five years, and this is just the beginning for us. We are better positioned than ever to accelerate growth, drive wider geographic expansion and continue to build a tech footprint serving customers better than ever. We will continue to own the supply chain for mother and child; both our customers and suppliers are at the forefront of this next exciting phase for Mumzworld.”
“This new milestone for Mumzworld is a win for the customer with even more customer-centric unique offerings and services, a win for our brand partners driving faster and greater growth and expansion and our Mumzworld team who will continue to shape the ecosystem and anchor Mumzworld as the admired and respected indispensable online extension of a mother’s life. Tamer Group is progressive thinkers and our values and ambitions are aligned. We are intent on digitizing the regional ecosystem, particularly in Saudi Arabia. With Tamer Group’s scale, size, reputation and regional knowhow - our combined complementary entity will be transformative for the region.
“The large mother, baby & child market is supported by strong market drivers and we look forward to continue our deep entrenchment in this vertical ecosystem, and to the future, with great excitement,” she added.
Ayman Tamer, Chairman of Tamer Group, commented: “We are extremely excited to announce our acquisition of Mumzworld. The deal coincides with our 100 year anniversary - operating as the largest healthcare distributor in the region, and major player in FMCG, logistics and beauty care- and this is a further, hugely significant, milestone for Tamer Group.
“We believe that e-commerce is the future for the GCC. As a major player in the FMCG space, e-commerce is no longer an option, but a necessity. The world has shifted to a customer-centric model with consumer behaviours, trends and data having become the new gold. Players in the space need to understand their customers, and adapt to their changing needs. Mumzworld will be a steppingstone towards ‘Tamer Digital’ - a very ambitious vertical we intend to build to serve the nation, working towards delivering on Saudi’s Vision 2030.” – TradeArabia News Service
Mumzworld signs acquisition deal with Tamer Group
Mona Ataya
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