Cyrille Fabre’s Post

Grocer LuLu Group International $1.43 Billion Abu Dhabi IPO Sells Out in an Hour The conglomerate, which runs more than 240 grocery stores in six Gulf countries, is offering 2.582 billion shares, equal to a 25% stake at an indicative price range of 1.94-2.04 dirhams per share, it said in a statement. Books were covered multiple times within hours of opening as demand from investors exceeded the overall deal size, according to a person familiar with the matter. Founded in 1974 by Indian businessman Yusuff Ali, Lulu joins other grocery firms that have listed, such as United Arab Emirates-based Spinneys (SPINNEYS.DU), and Saudi grocery retailer BinDawood Holding (4161.SE), in 2020, amid a retail spending boom in the region. This opens up door for other big retailers in the Middle East region. Hope this will be a new beginning to markets opening up. Please read the article here for more details --> https://lnkd.in/gvM43Egs #ipos #capitalmarkets #dubai #lulu #grocery #retailer #middleeast

Competition Is a Good Thing If you’re running a business with your own capital, especially in light of the government’s 2024 budget announcement, managing costs and balancing revenue and expenses is crucial. In a fiercely competitive market where Habanos and other distributors are raising prices, and where Tesco, M&S, petrol stations, kiosks, and new agents are also selling cigars and cigarillos, lowering prices isn’t a wise strategy. A solid plan for the next quarter is what will set you apart in this challenging landscape. #CigarIndustry #CompetitiveEdge #SmartBusiness #CigarLifestyle #LuxuryCigars #BusinessStrategy

Private label products have been steadily growing in popularity across the Middle East, with more retailers recognising the benefits of offering such products. According to Daymon’s Private Brand Manufacturer Outlook Survey from 2023, the Private Brand share for F&B in the Middle East and Africa achieved a CAGR of 3% between 2021 and 2023. Saudi Arabia registered a CAGR of 7% for the same period, demonstrating the opportunity for Private Brands to flourish in the region. In a recent interview with @Sunil Kumar, the CEO of Spinneys, stated that he is determined for the supermarket chain to expand its footprint in Saudi Arabia due to the demand. Want to explore ways to grow with private labels? Join us at Private Label Middle East 2024 from 24 - 26 Sep at Dubai World Trade Centre to discover quality products and connect with strategic partners to develop your own brand. Pre-register for free entry at https://bit.ly/3XZoMFl #PrivateLabelGrowth #PLME #privatelabel #RetailInnovation #Spinneys 

*Spinnies IPO Get Ready* Opportunity to invest in UAEs premium fresh food retailer targeting the affluent population with strong expansion plans in the UAE and Saudi. Spinneys operates 75 premium grocery retail supermarkets under the “Spinneys”, “Waitrose” and “Al Fair” brands in the UAE and Oman. The Company commands a 27% share of its target market in Dubai and 12% in the UAE in 2022. Spinneys has the highest net profit margins amongst its peer group and has an unleveraged balance sheet. We expect the company’s revenue to witness a CAGR of 12% during 2023-2028e and net profit to witness a CAGR of 7% on a strong increase in affluent population in the UAE and Saudi. *Minimum Investment: AED 2mn* Subscription Period: Expected from 23rd April 2024 to 30th April 2024 *Final Price Offer Announcement: 22nd April 2024* Expected Listing Date: May 2024 Contact if interested . Regards

The Retail Grocery Market Structure in Nigeria The retail grocery market in Nigeria is diverse and dynamic, characterized by a mix of traditional markets, small neighborhood stores, and a growing presence of modern retail formats such as supermarkets and hypermarkets. To read through the overview of the market structure, check attached report from Retailscope below. #retailscope #retailresearch #retailmarketstructure #retailindustry #retail #retailindustry #nigeria

𝐒𝐚𝐮𝐝𝐢 𝐀𝐫𝐚𝐛𝐢𝐚: 𝐇𝐲𝐩𝐞𝐫𝐥𝐨𝐜𝐚𝐥 𝐫𝐞𝐭𝐚𝐢𝐥 𝐦𝐚𝐫𝐤𝐞𝐭 𝐩𝐫𝐨𝐣𝐞𝐜𝐭𝐞𝐝 𝐭𝐨 𝐫𝐞𝐚𝐜𝐡 $𝟏𝟑.𝟓𝐛𝐧 𝐛𝐲 𝟐𝟎𝟑𝟎   In a recent feature by Arabian Business, Redseer Middle East's study on Saudi Arabia’s hyperlocal retail market was highlighted. Sandeep Ganediwalla, Partner at Redseer, shared key insights:   𝐌𝐚𝐫𝐤𝐞𝐭 𝐆𝐫𝐨𝐰𝐭𝐡: The hyperlocal market is expected to grow to $13.5 billion (SAR 50 billion) by 2030, accounting for over 1.5% of the non-oil GDP. 𝐅𝐨𝐨𝐝 𝐃𝐫𝐢𝐯𝐞𝐫: Food delivery will be the primary driver, with the food aggregator market projected to hit $14.4 billion (SAR 54 billion), making up 70% of the hyperlocal segment. 𝐔𝐧𝐢𝐭 𝐄𝐜𝐨𝐧𝐨𝐦𝐢𝐜𝐬: Positive unit economics are attracting new entrants, enhancing competition in the sector. 𝐂𝐨𝐧𝐜𝐞𝐩𝐭𝐬 𝐭𝐨 𝐖𝐚𝐭𝐜𝐡: Expect major consolidation among key players and a shift towards multi-service offerings as consumer preferences evolve.   Special thanks to James Mathew for covering these insights.   Check out the link to the full article in the comments below!

Top 5 E-Retailing Strategies to Skyrocket Your Profits in Saudi Arabia! Saudi Arabia's young, tech-savvy population is fueling substantial growth in e-commerce, creating a competitive and dynamic marketplace. The landscape is getting quite noisy. This calls upon the online retailers to create strategies that make one pay attention but, at the same time, connect him with the sale. Businesses that use high-tech, sophisticated communication methods and are aware of local preferences can set themselves apart from the competition. In the following headings, we will point out five critical e-retailing strategies that e-retailers can use to fully capitalize on profit and capitalize on all that this rapidly growing e-retailing market has to offer. Blog link : https://lnkd.in/eEmZUWd2

LULU'S IPO A few days ago, I added a little post about Lulu's founder and his fantastic success story as Indian expat in the UAE. That was related to another post - more general - about Indian entrepreneurship and the country's potential. Those of you in the UAE will already have seen the information from their bank: LuLu Group International is going to the stock market. And you can subscribe to in total 25% of its equity. Not sure yet if I will participate in this one. But it is a fact that the dynamics of the UAE stock market are really positive the last couple of years. True, when looking at global markets you may conclude that this is a classical 'equity offerings around the top' case. But there is more. The UAE is determined to transform into a regional financial hub. And for that purpose a wider listing of good companies on the Abu Dhabi Securities Exchange and Dubai Financial Market is essential. Even some of the larger government related companies have spun off and floated some interesting firms. And not only is the UAE interesting for those of you who want to expand their exposure to this country. More and more, it is also a neat way to provide you with opportunities to get exposure to the big neighbor next door: Saudi Arabia. The Gulf is probably one of the most neglected richer regions in the world as far as foreign stock ownership by non-residents is concerned. Time to take a closer look. Especially those of you who like a certain level of volatility/growth AND good dividend yields. Currency-wise the markets are strong too. Over the last 10-20 years the AED and SAR didn't have any real trouble to keep track of the USD. #Lulu #UAE #SaudiArabia #KSA #IPO #Gulf #MENA

Carrefour must be one of the most exploitative retailer of our time,in a bracket of six months, Competition Authority of Kenya has found this particular retailer to be abusing it's purchasing power on suppliers. The first instance was a case filed by Pwani oils limited and Woodlands Company limited. The facts of the case  were that Carrefour violated the contract entered with these suppliers by delisting their products, demanding the listing fee and rebates among others.The CAK findings were that Carrefour abused its superior purchasing power to its own advantage. The CAK fined this retailer is excess of 1billion shillings, the Competition Authority Tribunal and High Court upheld the decision of CAK.The second instance is a case lodged by Orchards Limited a milk processing firm, the claims were that Carrefour refused to receive this suppliers goods, delisting products without notice, demanding for a product representative stationed at their various branches thereby transferring labour cost to the supplier, demanding product listing fee among other unfair practices. The CAK findings were that Carrefour violated the fair market practices.This is a true reflections of dirty games in retail industry.

Be smart in what you’re investing in. The rules and regulations in the Kingdom of Saudi Arabia state that new petrol stations must have a c-store or must have a coffee shop. How can Saudi Arabian fuel retailers assess if a location is right for these offers? Nikolay Vylegzhanin from ProStore consulting joined us recently to discuss the changes in the Saudi Arabian fuel retail market and how businesses can be smarter about their investment decisions. Watch the full video here: https://hubs.li/Q02mvVmb0