Massmart

JOHANNESBURG, Aug 29 (Reuters) – U.S retail giant Walmart Inc WMT.N has launched a 6.4 billion rand ($377.6 million) offer for the 47% of Massmart MSMJ.

Massmart’s announcement of the offer sent its shares up 46%. Massmart Chairman Kuseni Dlamini told reporters in a call that a preliminary report from an independent expert indicates that the terms and conditions of the offer are fair and reasonable. “The potential offer, if finalised, will provide Massmart with needed access to ongoing financial and operational support from Walmart to sustain the group’s turnaround,” it added.

Walmart Inc. plans to take Massmart Holdings Ltd. private and will promote the unit's chief operating officer to head of the company as it prepares to renew ...

The global retail giant plans to buy all of the shares it doesn’t already own of Massmart for 62 rand ($3.65) apiece, a 53% premium to the last closing price, and delist the company from Johannesburg’s main bourse. He replaces Walmart veteran Mitchell Slape. [Walmart Inc.](/quote/WMT:US) plans to take [Massmart Holdings Ltd.](/quote/MSM:SJ) private and will promote the unit’s chief operating officer to head of the company as it prepares to renew its focus on South Africa.

US retail giant Walmart has offered to buy out the shareholders in Massmart, owner of Makro, Game and Builders Warehouse. Walmart plans to buy the remaining ...

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The appointment of Jonathan Malapo.....to take over from me at the end of the year is part of a very well thought out succession plan of getting my successor ready.Mitch Slape, CEO of Massmart Walmart which bought control of the Massmart group in 2010, now also plans to delist the company from the JSE. Walmart plans to buy the remaining 49% of Massmart, paying out shareholders at R62 a share, in a deal worth R6.4bn. - Mitch Slape will also step down as Massmart CEO at the end of the year We believe we've stabilised the business.Mitch Slape, CEO of Massmart Working in this complicated environment, with covid, with the unrest, with some of the inflationary headwinds that we've seen certainly have made it a challenging environment to work in.Mitch Slape, CEO of Massmart US retail giant Walmart has offered to buy out the shareholders in Massmart, owner of Makro, Game and Builders Warehouse. - Walmart is offering to buy out minority shareholders of Massmart Walmart makes R6.4bn offer to buy out Massmart and delist from the JSE

Walmart Inc has launched a 6.4 billion rand ($377.6 million) offer for the remaining 47% of retailer Massmart it does not already own, valuing it at a ...

"Considering the support that they (Walmart) have to give Massmart in this process, they probably thought well... The amount that Walmart has been investing into Massmart is a fraction of the profits the parent company makes annually, so it can keep on investing until it manages to turn it around, a banker who has advised Massmart in the past said. The COVID-19 crisis was followed by civil unrest last year, flooding of its stores earlier in the year and most recently inflation.

Builders saw a 2.1% decrease in comparable sales (R7 billion), with trading profit halving to around R292 million. Following the “surge in DIY spend” in ...

[Aug 2019]](https://www.moneyweb.co.za/news/companies-and-deals/massmart-in-need-of-an-edcon-like-overhaul/) [How Walmart lost $1.5bn on Massmart [May 2019]](https://www.moneyweb.co.za/news/companies-and-deals/how-walmart-lost-1-5-bn-on-massmart/) Exclude the R2 billion perpetual bond (accounted for as equity) and equity is negative to the tune of nearly R700 million. And besides, Massmart isn’t exactly the roaring giant taking on all comers that it was in 2010. At present, Massmart’s revenue (R38 billion for the half-year) is just 1.6% of Walmart’s global turnover. The Public Investment Corporation’s stake (of under 4%) isn’t a stumbling block. It “restructured” half of the R4 billion loan from Walmart in December (R2 billion is now a perpetual bond) likely as there is no indication it will be able to repay this in the near term. The remaining loan’s term was extended to six months in December and renewed earlier this month. But it’s been in the sub-Saharan African market for a decade (post the official approval of the 2010 offer)! [Aug 2019]](https://www.moneyweb.co.za/news/companies-and-deals/can-massmart-avoid-an-annus-horribilis-after-brutal-first-half/) [Massmart in need of an ‘Edcon-like’ overhaul? Builders saw a 2.1% decrease in comparable sales (R7 billion), with trading profit halving to around R292 million. Even its newest fulfilment centre at Riversands near Fourways has a simple Walmart logo on the front of the warehouse and the number ‘9813’. Comparable sales in these stores was up 2.5%, with growth in five of the first six months.

Walmart Inc has launched a 6.4 billion rand ($377.6 million) offer for the remaining 47% of South African retailer Massmart it does not already own, ...

"Considering the support that they (Walmart) have to give Massmart in this process, they probably thought well... Register now for FREE unlimited access to Reuters.com The amount that Walmart has been investing into Massmart is a fraction of the profits the parent company makes annually, so it can keep on investing until it manages to turn it around, a banker who has advised Massmart in the past said. "The potential offer, if finalised, will provide Massmart with needed access to ongoing financial and operational support," Massmart said in a statement. [(SHPJ.J)](https://www.reuters.com/companies/SHPJ.J) and Woolworths [(WHLJ.J)](https://www.reuters.com/companies/WHLJ.J), curtailing the company's aims to expand further into Africa and shaving off almost three quarters of its market value in the last decade. [(WMT.N)](https://www.reuters.com/companies/WMT.N) has launched a 6.4 billion rand ($377.6 million) offer for the remaining 47% of South African retailer Massmart [(MSMJ.J)](https://www.reuters.com/companies/MSMJ.J) it does not already own, valuing it at a premium of over 50%.

Delisting Massmart from the JSE will allow Walmart to ramp up its restructuring of the struggling group away from public scrutiny.

JOHANNESBURG - US retail giant Walmart plans to buy out shareholders in Massmart and delist the company from the JSE. Massmart owns Makro, Game and Builders ...