Amazon in talks to buy UAE’s Souq.com for $1 bln

E-commerce giant Amazon is in talks to acquire Dubai-based online retailer Souq.com for about $1 billion, Bloomberg reported, citing sources familiar with the matter.

The deal will enhance Amazon’s presence in the Middle East market.

Amazon is looking to fully acquire the site, which had initially planned to sell a stake of at least 30 percent, the sources added.

The parties haven’t reached a final agreement yet, and may still fail to reach a decision.

In September, it was reported that Souq.com had appointed Goldman Sachs to find buyers for a stake in the company.

The company’s existing investors, Tiger Global Management and South Africa’s Naspers Ltd., were also reportedly considering selling their stakes in the e-commerce portal.

Souq.com raised $275 million from investors in its last fundraising round in February, with Tiger Global and Naspers increasing their investments during the funding.