Alshaya Group

ABOUT THE CO-FOUNDER

Mohamad Hamoud Alshaya was born in Al Zulfi, Najd, in Saudi Arabia around 1873; the birth of his brother Ali followed two years later. In 1876, the two brothers moved to Kuwait City with their father and settled in the Bin Hamoud neighborhood, where they grew up. Both brothers married, and Mohamad ultimately had three children — Abdul Aziz, Noura and Shaikha — while Ali had five: Salih, Abdul Latif, Munera, Hessa, and Laila.^[8]

FOUNDING STORY

Accompanied by a relative, Ali headed to British India in the 1880s to seek business opportunities. He was soon traveling from the British Protectorate of Kuwait to India during trade season every year, exporting a wide variety of products. His business trips proved successful, leading him to establish a permanent shop in Bombay in 1890, which he managed together with his brother Mohamad.^[9] 

In 1896, the two brothers co-founded the Alshaya Company in Kuwait,^[10]  specializing in the trade of fabrics, wood, and foodstuffs^[11] between Kuwait, Saudi Arabia, and India. The Alshaya Company, registered that same year, is said to be the oldest company in Kuwait.^[12]

In 1931, founder Ali Alshaya handed over the management of the Indian shop to his son Salih.^[13] In 1939, the family decided to send Mohamad Alshaya’s eldest son, 12-year-old Abdul Aziz, from Kuwait to India to continue his education in English.^[14] Abdul Aziz studied at Saint Joseph’s School in Bombay, where he grew fond of the country, eventually leading him to join the family business operations there.^[15]

Following India’s independence in 1947 and the subsequent decline of direct trade with the Gulf,^[16] the Bombay shop massively downsized^[17] but continued to operate on a smaller scale.^[18] In 1952, Abdul Aziz left India due to a new policy that obliged foreign merchants to have Indian partners owning at least 50 percent of any company doing business in the country.^[19] Upon returning to Kuwait, Abdul Aziz became a partner in and chairman of the family business, then known as the Mohamed Mahmoud Alshaya Company for General Commerce.^[20] In 1956, co-founder Mohamad passed away at the age of 83. ^[21]

GROWTH PHASE

Following the end of the Second World War and the withdrawal of the British from Kuwait,^[22] the country was able to fully capitalize on its increasing oil revenues, yielding large-scale urban and landscape transformations.^{[23] [24]} As a well-established name in regional trade, the Alshayas were poised to benefit from the oil economy, and the 1960s saw the beginning of a long prosperous era for the family business. The company started to expand and diversify into real estate, retail, construction, and hospitality.^[25]

In 1966, under the leadership of Abdul Aziz Alshaya,^[26] they opened a Sheraton Hotel in Kuwait City — the first five-star hotel in the country.^[27] Soon after, they brought in one of Starwood’s first hotels to open outside of North America.^[28] In 1972, the company consolidated its growing portfolio and was rebranded as the Alshaya Group.^[29] In the same year, co-founder Ali passed away in Damascus at the age of 91.^[30]

In 1980, Mohammed Abdullatif Ali Alshaya, from the family’s third generation, joined the Alshaya Group to head the development of the M.H. Alshaya retail division,^[31] leading to several key international partnerships. in 1983, the group secured its first international franchise agreement with Mothercare,^[32] opening the brand’s first store in Kuwait.^[33] In the late 1990s, the Alshaya Group expanded into the food and beverage industry when it partnered with Starbucks.^[34]

The group also began to operate outside the Gulf, first in Türkiye in 2002, followed by Russia in 2005, Egypt in 2006, and Western Europe in 2007.^[35] The company continued to expand its portfolio with the launch of multiple beauty and fashion brands.^[36]

TODAY

Today, Alshaya Group is led by the family’s third generation, with Mohammed Abdullatif Ali Alshaya now serving as chairman.^[37] The group manages more than 70 brands across 2,800 stores in the Middle East, North Africa, Russia, Turkey, and Western Europe, employing 60,000 people.^[38]