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.
According to the company, the new stores will be located at Circle Mall in Jakande and The Palms Shopping Mall in Oniru as part of an ongoing restructuring programme aimed at strengthening operations.
Bunmi Adeleye, Chief Strategy Officer at Retail Supermarkets Nigeria Limited, the current franchise owners of Shoprite in Nigeria, said the openings are part of a phased turnaround plan designed to optimise store formats and improve efficiency.
She explained that the restructuring programme began in August 2025 with clearly defined milestones covering the first 90 days, six months, and 12 months.
“We have milestone timelines for the turnaround programme that we are working with. We completed the first 90 days and reached the six-month milestone in February. We are now moving toward the 12-month phase,” she said.
Adeleye also disclosed that the retail chain recently hired a Chief Commercial Officer and currently operates about 23 stores across 14 states in Nigeria.
The company suggested that speculation about a possible shutdown may have been triggered by disgruntled employees or competitors after some outlets were closed.
Shoprite explained that certain stores were exited because of high operating costs, particularly in large shopping malls where rent negotiations became difficult. In some cases, rents were denominated in dollars, significantly increasing operating expenses and making some locations unsustainable.
At one outlet, rent reportedly accounted for more than half of the store’s revenue, forcing the company to exit the location when negotiations failed.
As part of the restructuring plan, the company is reviewing store formats and considering smaller neighbourhood outlets to reduce expenses such as rent, electricity and diesel, while adapting to changing consumer shopping habits.
Shoprite first entered the Nigerian market in December 2005 with a store at The Palms Shopping Mall under its former South African owner, Shoprite Holdings Limited.
The South African parent company later exited Nigeria, citing difficult operating conditions. The franchise was subsequently acquired by Retail Supermarkets Nigeria Limited, which now manages the brand’s operations in the country.
Despite challenges including currency fluctuations, inflation and high operating costs, the company says its turnaround programme remains on track, with the new Lagos store openings confirming that Shoprite continues to operate across Nigeria.