Just In: Shoprite Announces Plans To Exit Nigeria
The Africa’s largest food retailer, Shoprite is making plans to exit the Nigerian market after posting continuous losses from its operations in the west African countries.
Shoprite said it was planning to discontinue its operations in Nigeria in a trading update filed at the Johannesburg Stock Exchange (JSE) on Monday morning.
“Following approaches from various potential investors, and in line with our re-evaluation of the Group’s operating model in Nigeria, the Board has decided to initiate a formal process to consider the potential sale of all, or a majority stake, in the retai Supermarkets Nigeria Limited, a subsidiary of Shoprite International Limited,” the update read.
“As such, Retail Supermarkets Nigeria Limited may be classified as a discontinued operation when Shoprite reports its results for the year. Any further updates will be provided to the market at the appropriate time.”
Shoprite was launched in Nigeria nearly 15 years ago, opening its first store in Lagos in December 2005.
The business has since grown from one to more than 20 retail stores across Nigeria — including some of the biggest retail stores in west Africa.