× Digital News Videos Health & Science Lifestyle Opinion Education Cartoons Columnists Moi Cabinets Arts & Culture Podcasts E-Paper Lifestyle & Entertainment Nairobian Entertainment Eve Woman Travelog TV Stations KTN Home KTN News BTV KTN Farmers TV Radio Stations Radio Maisha Spice FM Vybez Radio Enterprise VAS E-Learning Digger Classified Jobs Games Crosswords Sudoku The Standard Group Corporate Contact Us Rate Card Vacancies DCX O.M Portal Corporate Email RMS
×

Botswana firm in deal to acquire Kenya's Ukwala branches

BUSINESS NEWS
By Jackson Omondi Okoth | June 2nd 2015

Botswana based Choppies Enterprises Ltd has entered into a conditional agreement with Ukwala Supermarkets to acquire the retail chain’s 10 outlets. The transaction is in line with Choppies’s strategy of expanding into new markets in sub-Saharan Africa and its stated target of operating over 200 stores across at least six countries by December 2016.

The deal provides Choppies with an immediate footprint of established stores and a platform to grow in Kenya. Three of the supermarkets are located in Nairobi, two in Nakuru and five in Kisumu. The acquisition will see Ukwala trade as Choppies Ukwala supermarkets.

Choppies will operate with a 25 per cent local partner in Kenya in its joint-venture agreement with the promoters of Export Trading Group, an agricultural commodities trading and logistics business.

The supermarkets will be acquired by Choppies Supermarket Kenya Ltd, in which the company holds 75 per cent interest. According to the deal, Choppies Supermarket Kenya Ltd will buy the assets and the business name for about Sh970 million, subject to final due diligence and inventory valuation.

The purchase consideration will be funded with debt and from existing cash resources subject to approval by the Competition Authority in Kenya and other relevant regulatory approvals.

Share this story
Cement firms jostle for Kenya's Kitui’s limestone
The county is endowed with huge reserves of coal in Mui Basin, with a Chinese firm, Fenxi Industry Mining Group, winning the concession to mine it. There are also enviable iron ore deposits in the county’s Ikutha district.
I eagerly await my baby's first steps
Spina Bifida, and though rare in the general population, it is the most common neural tube defect in the world
.
RECOMMENDED NEWS
Feedback