Beyond K-Beauty to K-Food: Silicon2 Acquires Middle East Dining Brand '88 Seoul'

The Middle East-based K-food brand '88 Seoul.' Photo provided by Silicon2

Silicon2 (KOSDAQ: 257720), a leading Korean beauty distributor, is set to evolve into a comprehensive lifestyle platform in the Middle East, expanding its reach beyond beauty and into the food sector.

The company announced on the 29th that it has finalized the acquisition of '88 Seoul', the first delivery-focused K-food brand in the Middle East. 

Silicon2 plans to leverage its robust global logistics infrastructure and K-beauty distribution expertise to spearhead the distribution of the Korean lifestyle across the region.

88 Seoul is a specialized dining brand in the United Arab Emirates (UAE) that offers a variety of Korean staples, including Korean-style fried chicken and tteokbokki.

The brand currently operates one flagship store and four delivery-only cloud kitchens.

Following the acquisition, Silicon2 plans to accelerate the brand’s footprint by opening two additional locations within May and establishing a nationwide delivery network across the UAE starting in June.

Recognizing the Middle East’s unique market dynamics where extreme heat often limits physical mobility and drives high demand for delivery services. Silicon2 intends to focus on optimizing the brand's operational structure for delivery efficiency. 

"We aim to bridge the gap in the Middle Eastern market by providing authentic Korean flavors through a highly efficient delivery system," a company representative stated. 

Simultaneously, the company aims to enhance brand awareness by operating flagship stores in major shopping malls. This acquisition marks a significant milestone in our journey to becoming a total K-platform.

Silicon2 Dubai Logistics Center. Photo provided by Silicon2

Silicon2 emphasized that it is stably navigating the geopolitical instabilities in the Middle East through its regional logistics hub in Dubai. 

By preemptively securing more than three months of inventory, the company expects any impact on its financial performance to be limited.

"The acquisition of 88 Seoul, finalized this month, will serve as a significant milestone in Silicon2's leap toward becoming a global platform that encompasses the entire 'K-Style' beyond just K-Beauty," a Silicon2 representative stated.

"We will further solidify our position in the Middle Eastern market through thorough risk management and proactive investment."