Nigerian Businessman Tayo Amusan buys Shoprite Nigeria

Billionaire businessman Tayo Amusan is set to purchase Shoprite Nigeria, as the company gears up to sell all its majority stake in Nigeria.

According to news reports, the Pan African retail giant is leaving Nigeria and other markets due to currency devaluation, lower commodity prices, and high inflation rates impacting household income. Amusan is the leading bidder for Retail Supermarkets Nigeria Limited, the official subsidiary for Shoprite International Limited, in Nigeria.

Amusan is an experienced businessman, with over 25-years experience in the field. He is credited for building The Palms Shopping Mall in Lagos, the first international-standard mall in Nigeria, which also houses a Shoprite store. The first mall launched in 2004, with others replicated in Enugu, Kwara, Ota, and Ibadan, over the years.

Face2Face Africa reports that Shoprite has over 2,300 operating shops across Africa, with more than 25 retail stores across Nigeria.

In a filing with the Johannesburg Stock Exchange (JSE), Shoprite stated that the formal process for liquidating its Nigeria majority stake has begun. It wrote in its filing:

“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 result for the year.”

Upon the completion of the upcoming acquisition, Shoprite will maintain the “management of its chain of operations, brand name, trademarks, and supply chain,” the company said.

In an internal memo released by the retail giant, it said that the business will have the opportunity to 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 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.”