Shoprite going to leave Nigeria after 15 years.
Shoprite is a South African company. They have stayed in Nigeria for about 15 years. Shoprite announced that customer visits for the year has declined by 7.4% due to the pandemic lockdowns. It also noted that outside South Africa, sales only increased by 0.1%, and an overall decline in sales of 1.4% for the year.
Below is the notice
“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 Retail Supermarkets Nigeria Limited, a subsidiary of Shoprite International Limited.
“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,” the update read in part.
Former Kaduna lawmaker, Senator Shehu Sani, in his reaction the report on exit of retail giant Shoprite from Nigeria, has said it will provide an opportunity for local supermarkets in the country to grow.
In a tweet he shared, Sani stated that the company is free to stay if they intend doing that and if they have decided to leave teh country, then they are also free to go.
He wrote on Twitter:
If Shoprite wants to stay, they can stay; if they want to go, they can go; it will help local supermarkets to grow.