Dec 15, 2017 Last Updated 11:51 AM, Dec 14, 2017

Steinhoff Africa picks up 23% stake in South African supermarket Shoprite

grocery storeABNABN - South African supermarket chain Shoprite has confirmed that retail holding company Steinhoff’s African subsidiary has exercised call options to acquire a 23.1% stake and 50.6% voting control in the company.

Steinhoff Africa Retail Group (STAR) said back in August that it was looking to purchase a controlling stake in Shoprite, Africa’s largest grocer, in a share deal worth R35.5 billion.

The deal would give the low-cost retailer exposure to shoppers in South Africa and 14 other markets across the continent, adding to its existing 4,800-strong fleet of stores in sub-Saharan Africa.

STAR was only recently established on July 1st 2017, following an internal restructuring of its African retail assets.

The company operates across a wide range of sectors within the retail market, including footwear, household goods, furniture, consumer electronics, appliances and building materials and also provides financial and mobile services.

Shoprite said STAR’s investment would be subject to a number of conditions including several merger filings.

@ABNetworkOnline

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