A Nakumatt outlet. The retail chain has taken over three Shoprite stores in Tanzania. Photo/FILE
What you need to know:
The Kenyan chain has completed acquisition of three stores from South African retail giant Shoprite.
The Tanzanian competition watchdog last month cleared Nakumatt’s bid to take over the three stores located in Dar es Salaam and Arusha.
The acquisition has been valued at about Sh4 billion.
Supermarket chain Nakumatt Holdings is set to shut down its recently acquired Shoprite stores in Tanzania for renovations and rebranding before re-opening in one month.
The Kenyan chain has completed acquisition of three stores from South African retail giant Shoprite, which is exiting Tanzania after more than a decade of operations.
The Tanzanian competition watchdog last month cleared Nakumatt’s bid to take over the three stores located in Dar es Salaam and Arusha.
“Nakumatt has sealed an assets buyout agreement with Shoprite and we are undertaking (a clearance sale of) current stock holds ahead of a rebrand and reopening of the three stores,” said Nakumatt Holdings managing director Atul Shah in a Friday statement.
The acquisition has been valued at about Sh4 billion.
Nakumatt head of strategy and operations Thiagarajan Ramamurthy on Friday said the clearance is aimed at creating “a sense of change” to the shoppers that a new brand has taken over the outlets.
Shoprite’s exit came after the Tanzanian government cautioned it against importing most of its consumer products from South Africa.
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