Lulu and Modon Holdings to Develop Retail Hypermarkets

A day after its shares were fully subscribed within an hour on the Abu Dhabi Securities Exchange (ADX), Lulu Retail on Tuesday partnered with Modon Holding to develop and operate hypermarkets and other retail facilities in the UAE and Egypt.

Modon Holding will leverage its expertise in large-scale project development to ensure the provision of community retail in the form of hypermarkets, supermarkets and other retail outlets to be operated by LuLu across Modon’s UAE and Egypt portfolio which in the future will be home to millions of residents.

Additionally, the two parties will jointly explore high-potential locations for retail development, implement smart retail solutions and advanced logistics infrastructure, and enhance customer experiences with innovative retail technologies, Modon Holding said in a disclosure with ADX this morning.

This partnership, formalised in a memorandum of understanding (MoU), marks an important step in Modon Holding’s broader growth agenda, which includes actively targeting high-potential sectors for its projects’ expansion.

A working committee with representatives from Modon Holding and LuLu Retail will ensure seamless collaboration, effective communication and identification of potential collaborative projects, activities and initiatives.

The committee will enable the two parties to exchange expertise and make informed decisions, meeting operational needs and maximising mutual benefits, Modon Holding said.

Headquartered in Abu Dhabi, LuLu is a leading retail chain in the Middle East and its international business portfolio ranges from retail operations and shopping mall development to manufacturing and trading of goods, hospitality and real estate.

LuLu has a presence in 23 countries across the Middle East, Asia, US and Europe and operates a network of 240 stores, comprising 116 hypermarkets, 102 express stores and 22 mini markets across all GCC countries.

The company sources high-quality products from 85 countries with the aim of mitigating supply risk and maintaining availability throughout the year. It also serves as a mandated food security partner in the UAE, Oman and Bahrain.

Meeting Residents Needs

Modon Holding Chairman Jassem Mohamed Bu Ataba Al Zaabi said that their collaboration with LuLu Retail highlighted their commitment to delivering vibrant lifestyle communities that address the full spectrum of resident’s needs.

“A testament to our shared vision of growth, this MoU sets the stage for an exceptional retail experience within our developments, ensuring long-term value for Modon residents in the UAE and Egypt,” Al Zaabi said.

Lulu Group Chairman and Managing Director Yusuff Ali said that they were excited to collaborate with Modon Holding as we continue to expand their footprint. This MoU will allow Lulu Group to offer unparalleled shopping experiences that blend quality and innovation while catering to the diverse requirements of the communities in the UAE and Egypt, he added.

Modon Holding’s Group CEO Bill O’Regan said that partnering with LuLu Retail enabled them to create retail environments that encourage community connections and pave the way for the future of shopping.

He also said that by combining the expertise of two companies, they will be ideally positioned to bring state-of-the-art retail offerings to sustainable, people-centric developments across the UAE and Egypt.