Mauritius private equity firm acquires stake in Botswana’s largest retailer
Standard Chartered Private Equity (Mauritius) III Limited has picked up 12.77% stake in Botswana’s Choppies, a multinational grocery and general merchandise retailer. (Image: Company Website)
Mauritius-based private equity firm, Standard Chartered Private Equity (Mauritius) III Limited, has picked up 12.77% stake in Botswana’s largest retail group Choppies.
Choppies’ CEO Ramachandran Ottapathu informed shareholders on Wednesday that Standard Chartered Private Equity (Mauritius) III Limited bought 150,000,000 ordinary shares in an off market transaction on 18 December 2013.
The company turned in a good performance in the financial year ending 30 June 2013, notching up a 19% increase in net profit at P 153.31 million (approximately MUR 529.59 million) while revenue went up by 22% to P 4.03 billion (or MUR 13.92 billion).
Choppies, chaired by Botswana’s former President Festus Mogae, is not only present in the Southern African emerging economy but in South Africa as well.
It’s footprint in its parent country stands at 63 outlets while 13 Choppies stores are present in South Africa, a market it entered three years ago. Besides, the last financial year saw Choppies continuing its expansion spree, opening up 8 stores in Botswana and 2 in South Africa.
Moreover, Choppies is eyeing expansions into other sub Saharan African countries and has already successfully forayed into Zimbabwe. Last year, Zimbabwean business mogul Raji Modi sold off his stake in Sai Enterprises (Pvt) Ltd to the Botswana-based retail major.
Choppies, a multinational grocery and general merchandise retailer headquartered in Botswana’s capital Gaborone, listed on the Botswana Stock Exchange (BSE) in financial year 2011-12 through an initial public listing (IPO).
The group holds over 30% share of the retail market in FMCG industry in Botswana, deals in more than 45000 products along with many own brand products, and sells more than 70% of the local farm produce through Choppies outlets.