Dubai’s Souq.com said to mull sale of 30% stake: sources

Dubai-based e-commerce firm Souq.com is looking to sell a 30 percent stake in its business that would give it a value of at least $1.2 billion, sources with knowledge of the matter told Bloomberg.

Goldman Sachs has been appointed to find buyers for the stake, the sources said, adding that Souq.com’s existing investors Tiger Global Management and South Africa’s Naspers Ltd. are willing to sell part of their holdings in the deal.

The online retailer may attract another firm in the industry or a financial investor, and is open to selling a bigger stake if the price is right, one of the sources said.

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

Other investors including Standard Chartered, the World Bank’s International Finance Corp., and Baillie Gifford & Co. also took part in the funding, it was reported.

At the time, the firm’s chief executive Ronaldo Mouchawar said that the company would be open to selling shares to the public in the future.