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Sun 28 May 2017 11:31 AM

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Online retailer Marka appoints new CEO

Benoit Lamonerie joins the retail-focused firm as it struggles to become profitable

Online retailer Marka appoints new CEO
(ITP Images)

Marka has announced a new CEO as the retail-focused company continues to report huge losses.

Benoit Lamonerie takes up his role from Sunday.

Lamonerie has 20 years of experience, including managing major projects in the retail, hospitality, entertainment and real estate sectors, both in the UAE and abroad, according to a company statement lodged with the Dubai Financial Market.

He replaces Nick Peel, who resigned last year after failing to turn a profit since Marka was established in 2014. Peel had said that he would make Marka become profitable by the fourth quarter of 2015.

In its latest full year financials, the listed firm reported a loss of $40.8m for 2016.

The company, which has exclusive rights to manufacture and sell Real Madrid products in the Gulf region, reported total revenue of AED294 million, an increase of nearly 37 percent over the full year results for 2015.

Marka added that the net loss was mainly due to the depreciation of fixed assets, servicing debt and the impairment of the goodwill which arose on various acquisitions over the prior years.

Vice-chairman and acting CEO Khaled Al Mheiri said at the time of releasing the results in March that the weak retail market made for “an extremely challenging” year.

In the statement announcing Lamonerie’s appointment, company secretary Ahmad Samer Khalife said “we believe that his significant expertise and strong knowledge will be vital in leading the company through its next phase of business growth”.

According to his LinkedIn profile, Lamonerie’s most recent role was as CEO of subsidiaries at Gulf General Investment Co (GGCIO).

Marka’s strategy has focused on acquisitions, franchise agreements and its own retail concepts. It currently operates 47 hospitality, fashion and beauty and sports outlets across the region.

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