More Job Losses Expected as Another Foreign Company Announces Plan to Leave Nigeria and Gives Reasons

• South African retail giant Pick n Pay has announced plans to exit Nigeria by selling its shares in AG Leventis
• The decision comes less than 5 years after it entered the market with so much promise and excitement
• The launch of Pick n Pay follows other multinationals such as GSK and PZ Cussons facing challenging business environments

legit.ng Journalist Dave Ibemere has over a decade of business journalism experience with in-depth knowledge of Nigeria. economystocks and general market trends.

South African supermarket chain Pick n Pay has announced that it will exit Nigeria, marking the withdrawal of another major foreign business from the country’s market.

Sean Summers, CEO of Pick n Pay, announced that the company will sell its 51% stake in the Nigerian joint venture with AG Leventis (Nigeria).

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Reuters reports Pick n Pay currently has two stores in Nigeria and entered the market less than five years ago through a partnership with AG Leventis (Nigeria) Plc.

Summers explained that the decision was part of the company’s strategy to restructure its operations outside its home market in the South. Africa.

There was great excitement in 2020 when Pick n Pay opened its first store in Nigeria.

David North, group director of strategy and corporate affairs, was quoted as saying: says in 2020:

“The appeal is that it’s a very underserved consumer market and it’s going to grow. We have to look at the short-term and long-term potential.”

“Pick n Pay will instead focus on smaller neighborhood stores, with partner AG Leventis providing local knowledge, understanding of the regulatory process and local stakeholders.”

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Pick n Pay is not the only company to withdraw from Nigeria in recent years as companies struggle with tough economic conditions. naira devaluation.

Shoprite Holdings in South Africa and Mr Price are selling their shares, while multinational companies are also PZ Cussons And GSK has They also announced their exit from Nigeria.

Another foreign company is leaving Nigeria

legit.ng formerly of Equinor Nigeria Energy The company (ENEC) has agreed with Chappal Energies to sell ENEC’s 53.85% ownership in the OML 128 oil and gas lease.

According to one statement This stake, obtained from Equinor’s website, includes a combined 20.21% stake in the Chevron-operated Agbami oil field.

However, the completion of the deal is subject to regulatory approval, the statement said.

Edited by: James, Ojo Adakole, journalist and copy editor of Legit.ng.

Source: Legit.ng