Dayo Omoogun
The topmost African groceries and food Retailer, ShopRite, has reacted to the news which made the rounds and actually went viral yesterday
to the effect that it was perfecting plans to exit the Nigerian market.
A few hours later the retailer went to town to say there was no such plan but on the contrary, it was planning an expansion of its business in the country.
The earlier information which the media disseminated arose from a statement the organization put out earlier yesterday in its OPERATIONAL AND VOLUNTARY TRADING UPDATE (52 WEEKS ENDED 28 JUNE 2020) where it stated that Nigerian operations would be discontinued by the time it was making the end of year report.
“ 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. Any further updates will be provided to the market at the appropriate time.”
In a surprise rebuttal later, however, the Country Director for Chastex Consult, Ini Archibong, speaking on behalf of the grocery chain said “Shoprite is not leaving Nigeria. We have only just opened to Nigerian investors 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.
“We only gave this opportunity to Nigerian investors to come in and also help drive our expansion plan in Nigeria. So we are not leaving. “I have tried to say this to many people as I can. There should be no panic at all and all of that. There is no truth in that report.”