Walmart (Bentonville, Ark.) has made an offer to purchase the remaining 47 percent of South African retailer Massmart for $377.6 million. The American-based mass merchant already owns the other 53 percent of the company, which it purchased in 2010 for $2.3 billion.
Massmart’s Chair Kuseni Dlamini says the offer seems “fair and reasonable,” according to Reuters. If the deal goes through, Massmart says, Walmart would de-list the company.
The company has struggled in recent years to keep up with its competitors Woolworths and Shoprite, and despite Walmart providing 4 billion rand (roughly $236.4 million USD) during the pandemic, it hasn’t been able to expand further into Africa as planned.
Massmart reportedly said in a statement, “The potential offer, if finalized, will support Massmart with needed access to ongoing financial and operational support.”
The retailer sells a range of products like home goods, apparel and seasonal supplies.