Egyptian start-up, Homzmart, acquires Berlin-based technology company, MockUp Studio, expands into Europe
Homzmart, an Egyptian-based start-up and leading furniture and home goods marketplace platform in the Northern Africa and the Middle East region announced its successful acquisition of the Berlin-based technology company, MockUp Studio to extend its consolidation of the furniture value chain and expansion into Europe.
The acquisition confirms that Homzmart is on track to achieve its goal of consolidating the entire home goods and furniture value chain outside of North Africa and the Middle East.
Homzmart is a digital marketplace that links manufacturers and brands of home goods and furnishings with end-users. It was started in early 2020 by Mahmoud Ibrahim and Ibrahim Mohamed.
Homzmart’s platform and end-to-end solutions benefit both merchants, such as IKEA and Home Centre, by making it easier for them to reach customers, and consumers, who benefit from a hassle-free, one-stop-shop buying experience, and more flexible financing choices.
MSA Capital, a worldwide investment business with over $1.5 billion in assets under management, Nuwa Capital, Rise Capital, Impact46, EQ2 Ventures, and Outliers Ventures are among the investors that have backed the premier furniture retailer.
The start-up has earlier closed a $15 million Series A funding round in May 2021, tripled in size over the year, and expanded to Saudi Arabia, and it has now acquired MockUp Studio as it executes its strategy to consolidate the full home goods and furniture value chain.
It fits nicely with the company’s goal of changing the way people purchase and decorate their homes.
Consumers can picture their equipped house in minutes thanks to MockUp Studio’s technology. Homzmart will digitize the whole interior design process, starting with space and exploring alternative layouts, finishes, and floorings with different sets of Homzmart’s catalog selection, all displayed in a 360-degree view.
Customers get a flawless representation of their ideal area as a consequence of this process. It also mentioned that they can see and interact with Homzmart’s whole catalog with a few mouse clicks.
MockUp Studio will be integrated into the Homzmart processes as soon as possible. In the fourth quarter of this year, Homzmart customers should be able to get the full house visualization and interior design experience.
Homzmart’s CEO and Co-founder Mahmoud Ibrahim said: “We are delighted to complete this acquisition in Germany, and start integrating MockUp Studio’s technology into Homzmart’s product family. We have been very clear that we intend to grow rapidly, expand regionally, and consolidate the whole furniture value chain.”
“We are successfully doing all these things, and this M&A is a solid step in our value chain strengthening,” he stated.
“Our philosophy is all about transforming the furniture experience for consumers and sellers. Adding MockUp Studio’s technology means consumers can have the full interior design experience – browsing Homzmart’s entire catalog and viewing their desired space, in just a few clicks. MockUp Studio is a perfect partner to welcome to Homzmart and I know consumers will be delighted when they experience the new technology later this year,” remarked Ibrahim.
MockUp Studio digitisesdigitizes furniture store photos quickly and effectively using Artificial Intelligence and superior computer vision. The system recognizes photos and uses them to mix and match products according to interior design principles.
The technology also evaluates the intended space’s size, room arrangement, and furniture placement. The algorithms in MockUp Studio choose the best furniture to meet the user’s preferences and the room’s architecture.
According to Ibrahim, the acquisition follows Homzmart’s quick expansion, with operations in 2021 having quadrupled in size due to high consumer demand.