South African retail giant Shoprite has sold its Nigerian operations to a company owned by a group of local investors led by property firm Persianas Investment, Ketron.
The group said its wholly-owned subsidiary Shoprite International Limited (SIL), had disposed of 100% shareholding in Retail Supermarkets Nigeria Limited (RSNL).
“SIL entered into a share purchase agreement with Ketron Investment Limited, a wholly-owned subsidiary of Persianas Investment Limited (“Persianas”), for the disposal of its entire interest in RSNL. Since its formation in 1990 and under the leadership of its founder, Tayo Amusan, Persianas has grown to become a substantial group with proven capabilities to initiate, construct and manage high-quality retail, residential and commercial environments in Nigeria,” the retailer said in a statement.
“The terms of the transaction include both a franchise agreement which secures RSNL’s right to continue to use the Shoprite brand as well as an administration and services agreement which provides RSNL with administration and technical support from the Shoprite Group for an initial period of five years.”
The move comes after Shoprite informed investors last year it was seeking to exit the West Africa country.