Emaar Malls has bid on online retailer Souq.com, offering $800 million, sources says. Negotiations are ongoing and Amazon is said to have an exclusivity clause.

(Bloomberg)—Emaar Malls PJSC, the shopping-center unit of Dubai’s largest publicly-traded property developer, bid for online retailer Souq.com in a challenge to an offer made by Amazon.com Inc., according to people familiar with the matter.

The retail division of Emaar Properties PJSC, run by Mohamed Alabbar, offered about $800 million for Souq.com last week, which includes a convertible deposit of $500 million, one of the people said, asking not to be identified as the talks are private. Amazon, No. 1 in the Internet Retailer 2016 Top 500 Guide, has an exclusivity clause in its buyout talks for the online retailer, the person said.

Dubai’s Souq.com has another suitor besides Amazo

Mohamed Alabbar, chairman of Emaar Properties PJSC

A final agreement hasn’t been reached with any bidder, the people said. An Emaar spokesman declined to comment. A representative for Souq.com, No. 308 in the Internet Retailer 2016 Global 1000, couldn’t immediately be reached for comment. Emaar’s bid was previously reported by Arabian Business.

Emaar Chairman Alabbar is increasingly focusing on technology investments. He is leading a $1 billion technology investment company formed with other regional investors, and raised $1 billion from investors including Saudi Arabia’s sovereign wealth fund to create e-commerce firm Noon. Alabbar bought a stake in regional logistics firm Aramex PJSC in July and 4% of Yoox Net-a-Porter (No. 78 in the Top 500) for 100 million euros in April.


Amazon talks

Amazon restarted talks to acquire Souq.com in a deal valued at as much as $650 million after walking away earlier this year, people familiar with the matter said this month. Souq.com was valued at $1 billion in its last funding round, people with knowledge of the matter said in April 2015. The retailer raised $275 million, making it the most valuable internet company in the Middle East, according to Standard Chartered Plc, which had invested in the company.

Dubai-based Souq.com’s existing investors include Tiger Global Management and South Africa’s Naspers Ltd. The company hired Goldman Sachs Group Inc. to find buyers for a stake last year, people said at the time.