South African grocery retailer – Pick n Pay – has disclosed its exit from Nigeria by selling its 51% share of a joint venture as part of plans to restructure outside of its home market.
The CEO of Pick n Pay, Sean Summers, is quoted as saying this on Monday.
The company entered the Nigerian market less than five years ago through a partnership with A.G. Leventis (Nigeria).
The exit of Pick n Pay adds to a growing list of multinationals leaving the country, apparently due to inclement business environment.
On June 24, another South African retailer – Shoprite – announced the closure of its Abuja store, after a thorough evaluation of the store’s financial situation and the current business climate.
The closure followed the earlier shutdown of Shoprite’s store in Kano in January 2024.
In December 2023, Jumia also announced the shutdown of its food delivery business, Jumia Food, in Nigeria.
According to Jumia, the decision was necessary after a thorough review revealed that the current market conditions and economic climate make the food delivery business unsustainable.
Also, several companies, including multinationals like GlaxoSmithKline (GSK) Consumer Nigeria Plc, Procter & Gamble, Sanofi, and Kimberly-Clark, have exited Nigeria, citing the challenging business environment in Nigeria.
According to Jumia, the decision was necessary after a thorough review revealed that the current market conditions and economic climate make the food delivery business unsustainable.
* Media Report