MBC Group has signed a joint venture agreement with HSE24 to establish a home shopping company in the GCC.
The HSE24 Group is an international omnichannel home shopping company, which operates different channels in Germany, Austria, Switzerland, Italy and Russia. The Group offers people the opportunity to shop through its interactive TV, online and mobile platforms.
The new company formed by MBC and HSE24 will be based in Dubai. HSE24 will hold a 65% stake in the company while MBC Group will hold a 35% stake in the company. The home shopping company will focus on the sale of fashion, beauty, and jewelry items for the Arab market. HSE24’s home shopping concept and the exclusive and inspiring lifestyle product range will be made available as tailored offers in the Arabic language on all interactive platforms (TV, online shop, and m-commerce) for markets in the MENA region.
The main target group includes Arab women aged between 25 and 45. The joint venture will focus initially on the establishment of a head office, logistics, and TV production in Dubai. Its launch is expected to take place in 2017 – starting in Saudi Arabia and the UAE, followed by a successive roll-out in other GCC countries, namely Kuwait, Bahrain, Qatar, and Oman.
“The establishment of this joint venture is a consistent continuation of our international growth trajectory,” said Sonja Piller, CEO of HSE24.
“The Middle East is an extremely attractive growth region with great market potential and consumption-oriented clients. MBC Group is a strong partner that perfectly complements our home shopping expertise in order to establish a multimedia retail company in the area. As the leading media group in the Arab world, MBC Group has extensive knowledge of local markets, an excellent partner network, and contributes many years of experience to the launch and distribution of media goods in the GCC and MENA region.”