Shoprite & Steinhoff plot massive merger

The checkout at Shoprite, Africa’s biggest food retailer, in a shopping center in Warri, a fast-growing city in Nigeria’s oil-producing region. Credit: nytimes.com

Retail giants Shoprite and Steinhoff plan to merge to form what will indisputably be one of Africa’s largest retail businesses.

In a statement issued on Wednesday, Shoprite says that the vision for the project is shared by both the Public Investment Corporation and Titan Premier Investments, the major shareholders of either company.

The combined entity will, as it stands, be known as “Retail Africa”, and will see Shoprite acquire all of Steinhoff’s local retail chains, including Pep, Incredible Connection, Pennypinchers and Russells, among others.

“Shoprite will issue new ordinary shares to Steinhoff in consideration, pursuant to which Steinhoff will receive a significant equity interest in Shoprite,” says the statement.

Read more: Steinhoff, Shoprite plot massive merger

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