Alhokair and ACC acquire majority stake in UK’s Vogacloset

Alhokair and ACC acquire majority stake in UK’s Vogacloset

Saudi Arabia-based retailer Alhokair and mall operator Arabian Centres Company (ACC) have come together to acquire a combined 51 per cent stake in Vogacloset, a UK-based fashion e-commerce marketplace that caters to the Middle East where it has 12 million users.  

The buyers will acquire 41.2 per cent of Vogacloset's existing shares in a joint venture based on a pre-money valuation of $60 million, subject to an earn-out structure conditional on certain growth thresholds according to a statement released today. An additional $12 million will be injected into Vogacloset to develop its presence in Saudi Arabia, grow its customer base and support the integration of Alhokair and ACC's brands onto the e-commerce platform. Post transaction, Alhokair and ACC will own a combined 51 per cent stake in Vogacloset.

"Partnering with Alhokair and ACC in Saudi Arabia, our key market, is a strategic leap for Voagcloset,“ said Hanin Hamarneh, CEO of Vogacloset. "This partnership, and the new investment that it will bring, will support and accelerate the execution of our very ambitious growth plans in Saudi Arabia and the Middle East and will help us to rapidly expand the market for our suppliers' products.“

Vogacloset will continue to operate independently and will maintain the management