‎“Al-Othaim Fashion” acquires “Cenomi Retail” subsidiary for ‎SR120 million

Al-Othaim Fashion Company, one of the companies of Al-Othaim Investment Group, announced the signing of a share purchase agreement on Wednesday, December 6, according to which it will acquire 100% of the capital of the Innovative Fashion Trading Company – a subsidiary of “Cenomi Retail” – which will own the franchise rights for 18 brands and assets associated with it in the fashion and beauty sectors, as part of its expansion strategy to enhance and develop its activities, and acquire international brands to strengthen its economic position in line with the Kingdom’s Vision 2030.

Al-Othaim Fashion Company will acquire the target company, in addition to the franchise rights to 18 brands, for an amount of 120 million riyals, in addition to the value of the stock of goods available upon completion of the deal and delivery of the stores.

The company said in a statement today, Thursday, that the deal is expected to be officially closed in the first quarter of next year 2024, according to a number of conditions agreed upon between the two parties in the share purchase agreement, including obtaining the approval of government bodies in the Kingdom of Saudi Arabia on the deal.

Ali Al-Sharif, CEO of Al-Othaim Fashion Company, said: “This acquisition is an additional step in achieving our integrated strategy to develop and diversify the company’s business, and its position as a major player in the field of retail in the Kingdom, and providing a distinctive and rich shopping experience for the consumer, in addition to contributing to enriching the fashion retail sector and achieving the company’s national role towards Saudi youth by creating new, trained and qualified job opportunities.”

It is noteworthy that under this agreement, Al-Othaim Fashion Company will indirectly own the franchise rights for eighteen (18) international brands in the field of fashion and beauty, the most prominent of which are Flormar, Oxxo, Monsoon, and others. Al-Othaim Fashion Company is making a plan to keep the current employees of the relevant brands’ stores on their jobs and facilitate their joining the Al-Othaim Investment Group’s work team.

About Al-Othaim Investment Company:

It is worth noting that “Al-Othaim Fashion” Company was established in 2007, and works to manage and operate 19 brands and 92 stores. It is one of the companies of “Al-Othaim Investment Group”, which was listed among the top 50 real estate developers in the Gulf for the year 2023, and owns (12 ) a commercial complex in addition to the company’s portfolio of investment projects under implementation and in the future, which included 23 projects distributed across regions and cities of the Kingdom with investments exceeding 12 billion riyals, and a number of companies operating in the fields of (major commercial complexes, hotels, real estate investment, etc. In addition, the company has investments in entertainment, cinema, fashion, restaurants and cafes, artificial intelligence, sports centers, residential units, commercial offices, etc.