First Project to Establish a Smart E-commerce Fulfillment Center in Qatar
Set to Commence Full Operations by Year-End
Reitar Logtech Holdings Limited, a Nasdaq listed company, announced the formal signing of a Strategic Cooperation Memorandum of Understanding (MoU) with AI logistics company NEXX, along with a formal investment agreement for the inaugural Smart Fulfillment Center project in Qatar. According to the investment agreement, Reitar will invest in the project’s automation system and equipment through its subsidiary, KAMUI Logistics Automation System Limited (“KLA”). The two parties will embark on comprehensive cooperation in the field of smart logistics. The inaugural project will be located in Milaha Logistics City (MLC), Doha, Qatar. The initiative will be led by Reitar and co-invested by Solomon Capital Fund, a USD-denominated fund under Solowin Holdings, to advance the digitization and automation of logistics across the Middle East.
Background of Strategic Cooperation and Project Overview
The initial project covers a Smart Fulfillment Center of 5,000 square meters, equipped with an Agentic AI management system, automated sorting robots, and pharmaceutical logistics certification, scheduled to commence full operations in the fourth quarter of 2025. This center will serve cross-border B2C e-commerce, optimizing logistics efficiency from the Middle East to the globe. This cooperation unifies multiple advantages and resources from the global logistics and technology sectors:
- Reitar as a pioneer of the “Property + Logistics Technology” (PLT) model, offers logistics property development and asset management, empowered by technological integrated logistics automation solutions.
- NEXX, an AI logistics company with dual headquarters in Hong Kong and Qatar, focuses on the development of an Agentic AI technology platform. Its AI agent, NEXXBot, automates in-warehouse task scheduling and execution.
- The project is located in the logistics city (MLC) of Milaha, a major logistics player in the Middle East, providing top-notch infrastructure and geographic advantages.
- The partners also include Middle East delivery giant iMile, cross-border e-commerce logistics enterprise KEC (formerly “Kerry E-commerce”), which covers over 50 countries globally, and China’s cross-border e-commerce logistics leader Zipto Supply Chain, collectively building an end-to-end ecosystem covering technology, infrastructure, and cross-border e-commerce logistics services.
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Technology Integration and Innovation Highlights
The project employs Reitar ‘s PLT automation solutions, combined with NEXX’s AI-driven core technology, to create a highly automated Smart Fulfillment Center:
- Intelligent Storage System: Equipped with a VNA (Very Narrow Aisle) racking system, the facility features a total of 6,744 storage locations with a storage height of up to 16 meters (8 levels), significantly improving space utilization.
- Robotic Sorting System:
- 3D-Sort System: Features 50 sorting robots capable of processing 2,400 items per hour.
- T-Sort System: Equipped with 20 sorting robots, handling 1,400 cartons per hour.
- Combined Sorting Capacity: Achieves a total sorting capability of 3,800 items per hour, ensuring efficient order processing.
- AMR Picking System: Utilizes 26 Autonomous Mobile Robots (AMRs) that implement “Follow Me” smart following for picking operations, supporting cross-layer collaboration (M1F and MF). Each AMR can carry six containers (550×360×300 mm).
- Agentic AI Management System: Automates decision-making and task execution in the warehouse, integrating WMS (Warehouse Management System), WES (Warehouse Execution System), WCS (Warehouse Control System), and RCS (Robot Control System) to support multi-robot coordination and path optimization.
- Automated Packing and Shipping: Features 20 packing stations and a 48-meter automated conveyor system to facilitate rapid packing and order sorting.
- Pharmaceutical Cold Chain Compliance Certification: Maintains strict compliance with bonded warehousing, pharmaceutical logistics, and high-value verticals, meeting rigorous requirements for pharmaceutical logistics in the Middle East.
Additionally, Reitar will leverage its logistics asset management capabilities and the $150 million investment intention from Solomon Capital Fund. The company plans to invest in automated equipment within KLA’s warehouses while also exploring innovative models such as the tokenization of logistics assets (RWA).
Market Prospects and Strategic Significance
The e-commerce market in Qatar and the Middle East continues to grow rapidly:
- The logistics market in Gulf Cooperation Council (GCC) countries is projected to reach $171 billion by 2033, with a compound annual growth rate of 5.1%.1
- The project aligns with Qatar’s 2030 National Vision for economic diversification and supports the construction of a digital logistics corridor under China’s Belt and Road Initiative.
By connecting logistics networks between China, Europe, and the Middle East, this project strengthens Qatar’s position as a regional logistics hub and provides end-to-end solutions for cross-border e-commerce.
Management Perspectives
Mr. John Chan, Chairman and CEO of Reitar Logtech, stated:
“This collaboration is a key step in Reitar’s global strategy. By uniting NEXX’s AI technology, Milaha’s infrastructure, and top logistics partners, we are not only creating a benchmark for smart logistics but also opening new opportunities in the Middle Eastern market. Reitar will continue to promote the integration of logistics and financial technology, creating long-term value for investors and clients.”
Mr. Oscar, CEO of NEXX, remarked:
“The Smart Fulfillment Center represents the future of logistics technology. By combining Agentic AI with premier logistics services, we are providing efficiency-centric solutions to our customers. Our partnership with Reitar will accelerate the scaling of technology applications in the Middle Eastern market.”
Next Steps
The cooperation will be advanced in phases:
- Pilot Phase (2025-2026): Complete construction and operational validation of the Smart Fulfillment Center in Qatar.
- Expansion Phase (2027-2028): Replicate the model to the Middle East and Southeast Asia.
- Global Phase (Post-2029): Expand into European and Latin American markets.
Reitar and NEXX plan to explore the establishment of a dedicated logistics digitalization fund in Qatar to support infrastructure investment in the Middle East.
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