Boohoo teams up with Alshaya to expand Debenhams’ Middle East presence

Fast fashion retailer Boohoo said on Wednesday that it has teamed up with Kuwait-based Alshaya Group to build on the presence of Debenhams in the Middle East.

Alshaya, which currently runs Debenhams stores in shopping malls, will have exclusive rights to operate the Debenhams stores and a local eCommerce platform in Kuwait, Saudi Arabia, UAE, Bahrain, Egypt, Oman and Qatar.

Boohoo said the partnership will see its brands in Debenhams stores from the fourth quarter of this year, and on a new local online platform across the Middle East from early 2022.

Chief executive officer John Lyttle said: "I am delighted to be working with Alshaya to operate Debenhams in the Middle East. The Debenhams brand has been popular in the region for a number of years so this is a great opportunity to build on the existing brand awareness, while expanding the product ranges and brands available to customers.

"It also offers a new route to market for brands within the boohoo group, raising their profile in a growing new market. This is a great step as we progress the integration of Debenhams and look at wholesale partnership opportunities to continue to scale the group."

Shore Capital analyst Eleonora Dani said: "While it is still early days in the Debenhams’ integration journey, many brands that Debenhams used to sell are still in the onboarding process and not yet retailed on the website. Therefore, it is encouraging to see the company providing an update on the international state of the business, a sign that commercial partners believe in the group's strategic plan."