:. Food Industry News


Shoprite Eyes Expansion in Africa - CEO

Source: Reuters
03/09/2008

Johannesburg, Sept 2 - South African retailer Shoprite will continue to expand its operations in Africa, its chief executive officer said on Tuesday.

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Shoprite, which operates in 17 countries across Africa, the Indian Ocean Islands and southern Asia, expects to start operating in the Democratic Republic of Congo (DRC) in the next 9-15 months, CEO Whitey Basson told Reuters.

"The expansion is all for South Africa and Africa," Basson said in a telephone interview. "We've bought the land (in the DRC), we're in the process of building."

Shoprite reported a 54.1 percent rise in diluted headline earnings per share for the year to end-June earlier on Tuesday, and said strong growth in its core supermarket business and operations outside South Africa had helped boost profit.

Basson said the company was also expanding in South Africa.

"Up till June 2009, we expect to open up 58 supermarkets, or more," he said.

Shoprite also has operations in Zimbabwe, but Basson declined to comment on whether the group would consider expansion in the southern Africa country if it becomes more politically stable.

"There's no food available; we sell what we can get," he said. "I don't want to get into that debate (expansion) ... We will evaluate that decision when it comes up."

Zimbabwe's ruling ZANU-PF and opposition party MDC have been in talks to try and reach a power-sharing deal and end an economic crisis.



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