In a notice sent to the Johannesburg Stock Exchange (JSE), Shoprite Holdings Limited indicated its intentions to divest all/part of its holdings in Nigeria. 
According to the statement
Following approaches from various potential investors, and in line with our re-evaluation of the Group’s operating model in Nigeria
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.
While the company is yet to give reasons for the proposed move, some analysts have attributed it to the difficulties in accessing foreign exchange and the volatility of the Naira against the dollar. They imported a significant proportion of goods sold.
Sources familiar with the deal maintain that they would still retain the Shoprite brand, while the new partner will take up a franchise agreement. So, Shoprite is not leaving Nigeria.
What are your thoughts on this?
Please feel free to share
To never miss the money juice, we have a super community and amazing edtech platform for you themoneyafrica.com
Please feel free to share
To never miss the money juice, we have a super community and amazing edtech platform for you themoneyafrica.com
Here is how investors responded to the share subsequent to the announcement.
