Clyde & Co advises Cenomi Retail on SAR 120 million sale of franchise rights to Abdullah Al-Othaim

Global law firm Clyde & Co has advised Cenomi Retail, a Saudi listed company and pioneering retail brand partner, on the SAR 120 million sale of its franchise rights (and related assets) for 18 brands to Abdullah Al-Othaim Fashion Company. The brands include household names such as Flormar, OXXO, and Monsoon. The transaction is expected to complete in Q1 2024.

The divestment forms part of Cenomi Retail’s ongoing transformation strategy to focus on champion brands within the fashion, electronics and food and beverage sectors.

Cenomi Retail is the largest franchise retailer in the Kingdom and the only listed business of its type in the Middle East. Founded by renowned businessman and property developer Fawaz A. AlHokair in partnership with brothers Salman and Abdulmajeed, Cenomi Retail has grown considerably since opening its first store in 1991 and is now active in over 1,300 stores across 100 shopping malls in 11 countries across the MENA and CIS regions. Abdullah Al-Othaim Fashion Company, is a subsidiary of Abdullah Al Othaim Investment Company, the operator of malls and entertainment centres in the Kingdom, the GCC, and Egypt.

Clyde & Co acted as lead counsel to Cenomi Retail. Clyde & Co’s cross-practice and cross-jurisdictional team was led by partner Chadi Salloum (corporate), legal director Amun Bashir (corporate), and trainee Urmika Mani (corporate). They were further supported by partner Sara Khoja (employment), legal director Krishen Patel (corporate), and associates Elodie Chalhoub (employment), Jassar Aljohani (employment), and Abdulaziz Alharthy (corporate).

Clyde & Co has been operating in the Kingdom since 2009 and is one of the only fully-integrated international law firms operating in the Kingdom. Clyde & Co supports over 600 companies annually to successfully navigate the emerging commercial opportunities and challenges related to doing business in Saudi Arabia. Our dedicated Doing Business in Saudi Arabia Hub helps businesses stay informed and understand the latest developments and opportunities.

With over 30 years of experience in the Middle East and Africa (MEA), Clyde & Co is one of the largest international law firms with over 90 partners and over 540 staff operating through 9 offices and associated offices in Abu Dhabi, Cairo, Cape Town, Dar es Salaam, Doha, Dubai, Johannesburg, Nairobi, and Riyadh. Clyde & Co supports international and local organisations throughout the wider region with a full-service offering of local specialists across most business sectors and services of law, including commercial, commercial disputes, corporate, cyber risk, data protection & privacy, employment & immigration, finance, global recoveries, insolvency & reorganisation, intellectual property, international arbitration, projects & construction, real estate, regulatory & investigations, and technology, outsourcing & data.

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