Manny Ita –
Retail chain Shoprite has dismissed rumours suggesting it has shut down operations in Nigeria, confirming plans to open two new outlets in Lagos later this month as part of a restructuring strategy.
In an interview with Nairametrics, Bunmi Adeleye, Chief Strategy Officer at Retail Supermarkets Nigeria Limited, the company that currently operates the Shoprite franchise in the country, said the retail chain is undergoing a structured turnaround programme aimed at strengthening its operations rather than exiting the Nigerian market.
The clarification follows speculation that the supermarket brand had ceased operations in Nigeria after reports that some outlets had shut their doors.
Adeleye explained that the new stores scheduled to open in March 2026 are located at Circle Mall in Jakande and The Palms Shopping Mall in Oniru, describing the openings as part of the company’s phased restructuring programme.
“We have milestone timelines for the turnaround program that we are working with. We set targets for the first 90 days, six months, and 12 months. We are just concluding the six-month milestone and are now moving toward the 12-month milestone,” she said.
“The program started in August 2025, when we received approval to begin. We have completed the first 90 days, reached the six-month milestone by February, and are now on the next phase,” she added.
“We would be opening later this month of March. The locations of these two new stores are Circle Mall at Jakande and The Palms in Oniru.”
Adeleye also disclosed that the company recently appointed a Chief Commercial Officer and currently operates about 23 stores across 14 states in Nigeria.
She noted that speculation about a potential shutdown may have been fuelled by disgruntled employees or competitors, although no specific instances were identified.
According to her, the company has encountered operational challenges in some large shopping malls, particularly where rent negotiations became difficult after Nigerian investors acquired stakes in mall ownership.
In some cases, rents were denominated in United States dollars, significantly increasing operational costs and making certain locations unsustainable for the retail chain.
She revealed that at one outlet, rent accounted for more than half of the store’s revenue, forcing the company to exit the location after negotiations with the mall owners failed.
Following those exits, some retail spaces remained vacant, while others were later leased at considerably lower rates.
As part of the ongoing restructuring process, the company is also reviewing its store formats and exploring smaller neighbourhood outlets designed to reduce expenses related to rent, electricity and diesel while aligning with changing consumer shopping patterns.
Shoprite first entered the Nigerian market on December 16, 2005, when its former parent company, Shoprite Holdings Limited, opened a flagship store at The Palms Shopping Mall in Lagos.
The South African retail group later exited the Nigerian market citing difficult operating conditions, after which Retail Supermarkets Nigeria Limited acquired the franchise and assumed responsibility for running the chain in the country.
The new operators have since pursued restructuring efforts that include increasing local sourcing, reducing reliance on imports and experimenting with smaller store formats.
Despite challenges such as currency volatility, inflation and high operating costs, the company maintains that its turnaround programme remains on course, with the opening of the new outlets in Lagos expected to reinforce its continued presence in the Nigerian retail market.
