A Nigerian Investment company, Ketron, has acquired Shoprite Nigeria in a deal that will see the retail chain continue operations in the country.
The deal, which has been in the pipeline for some months, was finally sealed on Monday, May 31, 2021, and private equity fund management firm, MBO Capital as well as KPMG provided financial advice on it whilst the law firm of Banwo & Ighodalo provided acted as legal advisers.
The conditions of the Federal Competition and Consumer Protection Council (FCCPC) were met, and approval of the acquisition was obtained from the apex consumer protection agency.
With this deal, Shoprite Nigeria becomes fully owned and run by Nigerians. Speaking for the buyer, Chairman, Ketron Investment Limited, Tayo Amusan, assured that contrary to general fears, there will be no job losses. Instead Ketron, which is made up of a group of reputable institutional investors, will be initiating expansion moves into other cities in Nigeria and including more Nigerian-made products to its stock to create even more jobs, opportunities and value for Nigerians with the technical support of Shoprite Holdings.
He said, “The addition of Shoprite further diversifies our portfolio, motivating us to take on obligations to upscale the business and further drive the expansion of this impressive chain of retail outlets across the country.
“We look forward to building an even stronger company following our acquisition and are excited about the greater impact we will drive for customers and other stakeholders now and in the future.”
Jide Ogundare, CEO of MBO Capital, financial advisors to Ketron on the acquisition, also added:
“The deal to acquire Shoprite Nigeria was borne out of a vision to transform the Nigerian retail industry landscape. With the acquisition now finalised, the stage is set for us to realise that vision by taking Shoprite Nigeria to unprecedented heights.
“We intend to do this by fulfilling our renewed aspirations as a company and making astute business decisions, to ensure a sustainable and better-shared future. This, of course, has positive implications for the nation’s economy as it is now owned by Nigerians and is not value extractive.”
Ketron investment brings to the table a team of efficient and seasoned professionals, led by Tayo Amusan, who has enviable qualifications and experience in the retail and real estate sectors.