Billionaire Businessman Tayo Amusan Set To Purchase Shoprite’s Stake In Nigeria
Photo Credit: AMINU ABUBAKAR
According to reports, the retail giant is withdrawing from Nigeria and other markets due to currency devaluation, lower commodity prices, and high inflation hitting household incomes. As of now, Amusan and his company is currently the leading bidder for Retail Supermarkets Nigeria Limited — the country’s subsidiary of Shoprite International Limited.
Amusan — who holds 25 years of experience doing business in Nigeria — is credited for building The Palms Shopping Mall in Lagos, Nigeria’s first mall of international standards that also houses a Shoprite store, back in 2004. He then replicated it in Enugu, Kwara, Ota, and Ibadan, Face2Face Africa reports.
The outlet also reports that Shoprite has over 2,300 operating shops across Africa and launched in Lagos, Nigeria roughly 15 years ago with more than 25 retail stores in the West African nation.
In a trading update, Shoprite reportedly filed at the Johannesburg Stock Exchange (JSE) and noted that the formal process for liquidating its majority share has officially begun. In a memo, it states:
“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.”
Another internal memo from the company also shares how the business will reinvent itself to become “truly Nigerian.”
“The expansion of the retail business in Nigeria to a greater consumer market should remain everybody’s shared vision,” it reads. “It has, however, become apparent that the best manner in which to do this is by engaging Nigerian investors who share in this vision. In so doing we will be creating a truly Nigerian business run and owned by Nigerians for the Nigerian market.”