Shoprite makes clarification after report of exit from Nigeria

ShopRite Nigeria has dismissed report making the rounds that it has commence formal process to leave Nigeria.

The Country Director for Chastex Consult, Ini Archibong said “Shoprite is not leaving Nigeria.

“We have only just opened to investors in the country which we have also been talking to just before now. We are not leaving, who leaves over a $30billion investment and close shop? It doesn’t sound right.

While speaking on the next move, the Director said “We only just given this opportunity to Nigeria investors to come in and also help drive our expansion plan in Nigeria. So we are not leaving.

See also  NBC resets focus for Tokyo while also looking to Beijing

“I have tried to say this as too many people as I can. There should be no panic at all and all of that. There is no truth in that report.”

There have been reports that the retail outlet has started a formal process to consider the potential sale of all or a majority of stake in its supermarkets in the country.

With claims that it is struggling in the Nigeria market.

Report unveiled that the South African superstores, Shoprite Holdings Limited, will auction its outlets in Nigeria.

See also  Zero Hunger Round Table: 41,000mt grains to 5m households ongoing - FG

The decision, it said, was informed by the COVID-19 pandemic, which it said has affected businesses worldwide.

In its “Operational and Voluntary Trading Update (52 Weeks Ended 28 June 2020)” released on Monday, the megastores with presence in virtually all parts of the country said the retail supermarkets arm will be disposed.

Shoprite makes clarification after report of exit from Nigeria

The report further stated that Shoprite results for the year do not reflect any of their operations in the country as it will be classified as a discontinued operation.

See also  Ngige apologises to NASS leadership over keyamo clash

The report also said international markets excluding Nigeria contributed 11.6 per cent to the group sales and reported 1.4 per cent decline in sales from 2018.

South African operations contributed 78 per cent of the overall sales and saw 8.7 per cent rise for the years.

The report went further to say that as a result of the lockdown, customers’ visits declined 7.4 per cent but the average basket spends increased by 18.4 per cent.

LEAVE A REPLY

Please enter your comment!
Please enter your name here