Amazon.com Announces Acquisition Of SOUQ.com, The E-Commerce Leader In The Middle East

Amazon.com, Inc. (NASDAQ:AMZN) announced today that its long-rumored acquisition of fellow e-commerce giant SOUQ.com has come to fruition.

Written by StockNews.com

The move had been speculated upon for several months, with Amazon reportedly taking an initial stake in the firm prior to purchasing the entire entity.

SOUQ.com, which is based in Dubai but serves customers in several Middle Eastern countries, gives Amazon a major foothold in the fast-growing region. SOUQ.com attracts more than 24 million unique visitors per month, and delivers products to users in the United Arab Emirates, Saudi Arabia, Kuwait, Egypt, Bahrain, Oman, and Qatar.

Amazon commented on the move via press release:

“Amazon and SOUQ.com share the same DNA – we’re both driven by customers, invention, and long-term thinking,” said Russ Grandinetti, Amazon Senior Vice President, International Consumer.

“SOUQ.com pioneered e-commerce in the Middle East, creating a great shopping experience for their customers. We’re looking forward to both learning from and supporting them with Amazon technology and global resources and, together, we’ll work hard to provide the best possible service for millions of customers in the Middle East.”

The company noted that the deal is expected to close by the end of this year.

Amazon.com, Inc. shares rose $1.18 (+0.14%) in premarket trading Tuesday. Year-to-date, AMZN has gained 12.93%, versus a 4.51% rise in the benchmark S&P 500 index during the same period.

AMZN currently has a StockNews.com POWR Rating of A (Strong Buy), and is ranked #4 of 43 stocks in the Internet category.