JOHANNESBURG, South Africa — South Africa’s largest grocery retailer, Shoprite Holdings Ltd., has announced plans to divest its operations in Ghana and Malawi, reinforcing its strategic shift to focus more on its domestic market.
In a statement released Tuesday, August 5, 2025, the retailer confirmed that Shoprite Malawi signed an agreement on Friday, June 6, 2025, to sell five trading stores, subject to approval from the Competition and Fair Trading Commission and the Reserve Bank of Malawi.
In Ghana, the company said it received a binding offer in June for the acquisition of seven stores and one warehouse, with the deal described as “highly probable”.
The move signals a continued retreat from several African markets where macroeconomic instability has undermined profitability.
Shoprite cited currency volatility, high inflation, import duties, and dollar-denominated rentals as major factors contributing to its struggles in regions outside South Africa.
Shoprite’s exit from Ghana and Malawi follows earlier withdrawals from Nigeria, Kenya, Uganda, Democratic Republic of Congo, and Madagascar, all part of a broader plan to consolidate its operations and preserve shareholder value.
The company has also limited capital allocations to its remaining stores outside of South Africa.
Despite these exits, Shoprite remains Africa’s largest food retailer, having previously outpaced competitors like Pick n Pay and Walmart-owned Massmart to build a strong continental presence.
As of 0753 GMT on Tuesday, August 5, 2025, Shoprite shares were down 2.60% on the Johannesburg Stock Exchange.
However, the company projects a headline earnings per share increase of between 9.4% and 19.4% for the 52 weeks ending June 29, up from a restated 11.85 rand in 2024.
Group sales from continuing operations are expected to rise 8.9% to 252.7 billion rand (approximately $14 billion).
With the rand trading at 17.9954 to the dollar, Shoprite’s strong domestic performance appears to be cushioning the financial impact of its foreign market retreats.
