- Telecoms operator Etisalat has fully acquired UAE-based elgrocer, an e-grocery startup for an undisclosed sum.
- Founded in 2015 by Nader Amiri, elgrocer operates as an online marketplace for groceries stores across all seven emirates. It currently has more than 500 outlets listed on its platform with 120,000 SKUs 120K products listed.
- Etisalat has been looking to build up its online services offerings through its Smiles loyalty platform and marketplace which currently offers food delivery and the ability to redeem points at more than 7,000 outlets across the UAE.
- The acquisition is intended to “contribute to the growing digital economy” of the UAE, while for elgrocer, it plans to continue its expansion plans through the Smiles platform.
Emirates Telecommunications Group Company PJSC “Etisalat Group” signed an agreement with elgrocer Ltd to acquire 100 percent of elgrocer DMCC, to support its digital ambitions by enriching its services bringing it closer to the daily lives of the consumers and unlocking synergies that drive a diversified and integrated product portfolio.
With UAE ranked as one of the highest globally in terms of smart device penetration and rated as one of the most advanced countries for online shopping and eCommerce market in MENA, this acquisition will contribute to the growing digital economy in the country.
Khaled ElKhouly, Chief Consumer Officer of Etisalat UAE said: “Online shopping has redefined retail in the last decade with an increasing number of consumers moving to online transactions. Considering Etisalat’s leadership role in the acceleration of UAE’s digital transformation, we have been continuously working on new, innovative digital services and this acquisition is in line with our strategy to empower consumers, enhance engagement through our digital marketplace platform and drive diversification of our business.”
elGrocer’s strong online presence in the country will complement Etisalat UAE’s existing marketplace services under the brand ‘Smiles’ including online food delivery, lifestyle offers and the ability to earn and redeem points at more than 7,000 outlets across the UAE.
Raed Hafez CEO of elGrocer said: “We are excited to join forces with Etisalat team giving us the opportunity to tap into their digital capabilities, advanced network and services to accelerate our strategic expansion plans. Combining our strengths backed by Etisalat’s strong base will give us full strength to capture the market opportunities ahead.”
Nader Amiri, Founder & COO of elGrocer added: “We started the elGrocer journey to bring a new & superb grocery shopping experience to people in the UAE, and we are proud of what we have achieved so far. Now, we start a new chapter combining what we have built with Etisalat’s innovative services & Smiles’s powerful offering, as we look forward to providing customers with even more delightful experiences and benefits.”
Founded in 2015, elGrocer is a leading online marketplace for groceries operating in all seven Emirates of the UAE. It brings together major retailers and specialty stores on a single platform with more than 500+ outlets and 120K products listed. In addition, elGrocer has strategic partnerships with major global and local FMCG companies for collaborations and innovative strategies to drive exposure of their brands.