Retail Supermarkets Nigeria Limited, which houses Shoprite and Freshmark, has announced plans to terminate its business operations in Novare Wuse Central Mall, Abuja, citing Nigeria’s unprofitable economic environment.
In a circular sent to partners on Friday, RSN said it arrived at the decision to shutdown operations having thoroughly evaluated “the store’s financial situation and the current business climate.”
“Effective June 30, 2024, our company will no longer operate in Wuse, Abuja, and we will no longer require your services for the Novare Wuse Central Mall Store,” RSN told its partners in a letter dated June 21 and signed by its INT CEO Folakemi Fadahunsi. “Please note that all existing service contracts will also terminate for the store.”
RSN said it would review and reconcile accounting records over the next two months to determine the amount owed to service contractors and find a suitable payment plan that would work for both parties.
“If there is an outstanding balance between our companies, we will carefully review our accounting records over the next 60 days (about 2 months). We will then promptly contact you to confirm the amount owed and discuss a suitable payment schedule,” the letter stated.
The mall’s closure lengthens a list of foreign corporations like Diageo and GlaxoSmithKline exiting Nigeria, which is currently experiencing its worst cost-of-living crisis, a consequence of President Bola Tinubu’s hasty removal of fuel subsidy and naira devaluation.
