Fresh Details Emerge As Shoprite Officially Sets Date To Shut Down Operation in Kano
- Shoprite Mall has decided to close down its operation located in Bayero, Kano State
- The company cited several reasons, which include the dollar exchange rate and the cost of rent
- Other reasons cited are the low purchasing power and the challenging business climate in the country
Legit.ng journalist Dave Ibemere has over 10-year-experience covering the Economy, Technology, and Capital Market
Retail giant Shoprite has officially declared the closure of its Kano branch, located in Ado Bayero Mall, Kano State.
The closure is set to take effect from January 14, 2024, as stated through a circular issued and signed by the management of Shoprite.
Source: Getty Images
Why is Shoprite closing down in Kano?
According to the circular, the decision to close down the Kano branch encompasses the branch's current financial situation and the country's challenging business climate..
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The official circular from Shoprite reads:
“I regret that our store in Ado Bayero Mall, Kano, will be closing its doors on January 14, 2024. This decision was not made lightly, as we understand the impact it may have on our employees and the community.
“However, after careful evaluation of the financial situation of the store and the current business climate, we believe that it is the best cause of action for the long-term growth of our organization.
A source at Shoprite further told Legit.ng on condition of anonymity that one of the major reason for the closing of the mall is because of dollar exchange rate.
He revealed that Operators of Bayero malls collect rent from Shoprite in dollars, making it one of the most expensive locations for the company as Naira continues to depreciate.
Shoprite offers hope
The circular further hinted at the company's plans to open new branches in other parts of the country.
The company, therefore, encouraged employees affected by the closure in Kano to apply for job opportunities in other stores.
The statement concluded:
““We understand that this news may be difficult to digest. We want to assure you that we are here to support you during this transitional period, your well-being is our top priority, and we will do everything we can to assist you in finding new opportunities within our company, we encourage you to apply for any vacant position in existing our store across the country through the Human Resources department.
"Additionally, we will be operating new stores in the upcoming months, and you are welcome to apply for employment there as well.”
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