Simmons Strikes Deal with Intercoil for Middle East Business

May 19, 2010  by in UnCategorized   

By Home Furnishings Business in Bedding on May 20, 2010 Simmons Bedding Co. has signed a licensing and distribution agreement with Intercoil International, a leader in orthopedic sleep products in the Middle East.

Under the agreement, Intercoil will be the exclusive licensee of Simmons products across the Middle East, and plans to open eight dedicated Simmons retail locations by the end of 2011. Four of the stores will be in Dubai and the others will be across the region. The first Simmons exclusive showroom in the region will open soon.

As part of the deal, Intercoil is importing high-end machinery and technology intelligence from Simmons and will manufacture the Simmons sleep products out of Intercoil's main factory in the United Arab Emirates. The manufacturing is scheduled to begin next month. In addition, Intercoil will distribute Simmons products through its established retail network in the United Arab Emirates, Oman, Saudi Arabia, Bahrain, Kuwait, Qatar, Iraq, Egypt, Jordan, and Lebanon.

"We believe that our partnership with Simmons is an important milestone in the history of the company, and it will definitely support us in realizing our vision to become the market leader in the Middle East region," said Hassan Abbas Al Hazeem, managing director of Intercoil. "This partnership will bring more value, quality and choice for our customers.

"We have outlined a proactive strategic growth plan for the region," he said. "In addition to continuing to enhance our retail points, we are focusing on enhancing our manufacturing setup. We plan to open three more manufacturing facilities in the region."

The partnership gives Simmons a larger presence in the Middle East retail and hospitality arena, said Todd Merker, director of global licensing for Simmons.

"While Simmons has been present in the Middle East for some time now, we have identified greater opportunities with Intercoil aimed at further accelerating our growth in the coming months," he said.