By Jake Aimuan
After many much of speculation about a possible divestment of its business interests in Nigeria, the South African merchandise and retail giant, SHOPRITE Holdings, on Wednesday announced the sale of its Nigerian business to Ketron Investment Limited.
Ketron Investment Limited is a Nigerian company and it acquired Shoprite Nigeria from the Retail Supermarkets Nigeria Limited (RSNL), owner and operator of the Shoprite stores in Nigeria.
The ownership transfer deal, Sahelian Times learnt, is coming 16 years after the first Shoprite retail outlet was opened in Lagos, Nigeria.
Ketron Investment Limited operates under the proprietorship of a group of distinguished international institutional investors headed by Persianas Investment Limited.
Though the price of the acquisition has not been disclosed, the divestment by Shoprite International is in tandem with its corporate strategy to transform from an ownership model to a franchise model.
It was further gathered that the change in ownership has also been approval by the Nigerian regulator, the Federal Competition and Consumer Protection Commission (FCCPC).
Speaking on the acquisition, Chairman, Ketron Investment Limited, Tayo Amusan, said that they were excited at Ketron to successfully complete the acquisition of Shoprite, which will ensure “the continued operations of one of the biggest retail success stories in Nigeria”.
Amusan said, “We look forward to building an even Company stronger following our acquisition and are excited about the greater impact we will achieve to the benefit of our customers and other stakeholders now and well into the future”.
Since its launch in Lagos in December 2005, Shoprite has expanded to 25 outlets across 11 states and Abuja, the Federal Capital City (FCT).
Nevertheless, the terms of this acquisition state that Ketron acquires 100 percent ownership of Shoprite in Nigeria and will continue operations across all existing outlets.
It also plans to open additional stores and introduce more Nigerian-made products in the stores.
He expressed optimism that this would also create more opportunities for Nigerians.
Amusan explained that their vision was to create better, fundamental change within Nigeria.
He said that with benefits from their knowledge of the ever-evolving Nigerian retail marketplace, well-grounded social and economic research, and hands-on experience from their team, they were confident that “the acquisition would foster a robust and sustainable business model for the ultimate benefit of all stakeholders” he concluded.
On his part, Jide Ogundare, Chief Executive Officer, MBO Capital, noted that the deal signals an opportunity for Ketron to uphold a thriving business, saying it would, however, require a lot of commitment
Ogundare said, “It will be hard work, but with the plans we have in place, and with the support of the larger Shoprite family in Nigeria, including our staff and every Nigerian shopper that walks through our doors, we are confident of success.”
“Shoprite Holdings is Africa’s largest food retailer, operating 2,843 supermarkets in 15 countries and serving 35 million customers in Africa and the Indian Ocean Islands.
“At the moment, Shoprite Nigeria’s supply chain includes more than 300 leading Nigerian suppliers and boasts small businesses and farmers among its partners and suppliers.
“Ketron has said that Shoprite International will continue as technical advisers and Ketron will sustain the relationships established by Shoprite over the last decade-and-a-half while ensuring a smooth “transfer of values.”
