According to reports coming in, Alibaba Group Holding Ltd is thinking to buy Pakistan’s top e-commerce group Daraz, Rocket Internet’s online retail unit in the country.
This development is believed to be a part of China’s biggest e-commerce company’s plan to expand its market in Pakistan.
While there are no authentic lead, the companies, as the reports suggest, might be negotiating on a price for the Pakistani retailer. The person willing to be unidentified has told that the discussions are private and have not yet been developed further from an early stage.
Bloomberg reports that none of the parties wanted to comment on the matter. It’s worth noting Alibaba’s Ant Financial has also plans to acquire 45% stake in Telenor Microfinance Bank Pakistan for $184.5 million to pace up mobile payment and digital financial services the country.
By the increasing number of internet users in Pakistan, local and international brands are focusing on e-commerce. Daraz stated previously as the country currently has 30 million active internet users. On the other hand, Alibaba’s interest to expand its business in Pakistan was revealed earlier last year at World Economic Forums, following China’s $62 billion investment in China–Pakistan Economic Corridor across the country.
If talk about research by Euromonitor International, Pakistan’s market may expand 8.2 percent a year through 2016-2021 as disposable income rises, noted Bloomberg.
