Namshi, a product of Rocket Internet’s incubator program, recently raised a $13 million round to harness recent growth in its fashion ecommerce channels in the Middle East. Summit Partners led the investment.
Namshi provides ecommerce fashion retail to Middle Eastern markets, featuring clothing, accessories, and footwear for women, men, and kids from over 550 international and local brands. Serving markets in the United Arab Emirates, Saudi Arabia, Qatar, Kuwait, Oman, and Bahrain, the company features free shipping and a fairly open return policy.
Founded in 2012, the company has leveraged substantial growth in the region, and this latest funding will serve to further accelerate that growth. The company plans to expand its operations and move stock to a more centrally located distribution center to more quickly serve customers.
“We see our partners’ growing support as an encouragement for us to continue serving our customers with world-class products and services,” said Hosam Arab, co-founder and Managing Director of Namshi, in a statement. “Our customers made the company what it is today. Therefore, they will be the ones to see the main benefits coming from this investment. We will further focus on providing a shopping experience like no other in the region.”
Summit Partners has a history of backing projects of Rocket Internet, the infamous incubation program launched by the Samwer brothers, who habitually launch clones of already successful companies into regions yet to be tapped. Other Rocket Internet investments by the private investment firm include Linio, Lazada and Dafiti, Jumia, Linio, and Zando.
This is also Summit Partner’s second investment in Namshi, which has also previously seen investment from JP Morgan Chase, Kinnevik, Holtzbrink Ventures, and Blakeney Management.
“Namshi and its management team have done an exceptional job of growing the company, and we are happy to support the company’s continued expansion,” said Scott Collins, an MD and head of the Summit Partners London office, in a statement.
Like other Rocket Internet launches, Namshi capitalizes on the rapidly burgeoning ecommerce market in the developing world. This cash infusion gives it the necessary capital resources to develop a strategic foothold in the market just as it is beginning to take off.
Namshi competes against Souq, an ecommerce channel based in Dubai.