NAIROBI, Kenya, Sep 8-Retail chain Shoprite has announced the closure of its two remaining stores in Kenya in coming months.
According to the retailer who made the announcement in Johannesburg, the decision to exit the Kenyan market has been influenced by underperformance and not meeting the return requirements.
The company opened its first supermarket in Kenya in 2018 and has continued to receive competition from other retailers such as Naivas and Carrefour.
Shoprite was left with two stores in Nairobi -at Garden City and Westgate malls which it now plans to close, exiting the Kenyan market.
The notice to exit Kenya comes a month after it shut its City Mall branch in Nyali Mombasa where it shed off over 100 jobs.
“Endeavour to continue trading at the Nyali branch is no longer viable. Financial and other data will be provided and discussed at a proposed meeting,” Shoprite said in a notice to the Kenya Union of Commercial Food and Allied Workers.
“It is contemplated that the intended date of termination on account of redundancy will be August 31, 2020. There are currently 115 persons employed at the branch of which 92 are members of KUCFW,’ the South Africa retail chain added.
While establishing its foot print in Kenya, Shoprite announced that it was taking advantage of the disarray in Kenya’s retail sector.