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Botwana retailer Choppies turns to profitability courtesy of restructuring efforts

Oct 2, 2021Oct 2, 2021 Editor

BOTSWANA – Botswana based retailer, Choppies Enterprises Limited has gone full circle, bouncing back from a loss in the previous financial year to post a profit growth in the full year ended June 2021. The behemoth retailer expects its Profit after Tax including discontinued operations to be between 106% to 126% representing a gain of between P22.6 million (US$2m) and P96.7 million (US$8.56m) better than the Loss after Tax of P370.6 million (US$32.79m) reported for the period FY2020. In a trading statement posted on the local bourse, Botswana Stock Exchange…

Botwana retailer Choppies turns to profitability courtesy of restructuring efforts

Jul 14, 2021Jul 14, 2021 Editor

BOTSWANA – Botswana based retailer, Choppies Enterprises Limited has attained its first profit since 2016 of P37.7 million (US$3.4m) in the six months ended 31 December 2020, a rise from the loss of P139.2 million (US$12.56m) attained in 2019. According to the company, the turnaround performance is attributed to the benefits from restructuring the business following the exit from underperforming investments. Despite the impressive bottom-line performance, the group’s revenue decreased by 8.7% to P2.711 billion (US$244m). This decline was a result of negative volume growth due to the impact of…

Naivas, Cleanshelf open new branches in Nakuru, take over spaces of struggling Tuskys, Ukwala

Apr 14, 2021Apr 14, 2021 Editor

KENYA – IFC backed Kenyan retailer Naivas Supermarket has opened its fourth store in Nakuru town, as local chain Cleanshelf opens its inaugural store in the same region, central of Kenya. The new stores steam up competition in the town which hosts other retailers such as WoolMart and QuickMart who have two branches each, while homegrown Gilanis has maintained its only branch. According to reports by Business Daily, Naivas’ and Cleanshelf’s new branch have occupied spaces vacated by Tuskys and Choppies owned Ukwala respectively. Troubled Tuskys supermarket exited Nakuru town,…

Retailer Choppies to pay US$12m owed to banks and suppliers as it exits East African market

Jan 26, 2021Jan 26, 2021 Editor

EAST AFRICA – Botswana-based retailer Choppies Enterprises Ltd is facing a US$12.4 million debt owed to banks and suppliers in Kenya and Tanzania, as the retailer prepares to exit from the East Africa region after closing down its operations in March 2020. Botswana Stock Exchange listed retailer which is also cross-listed on the Johannesburg Stock Exchange has discontinued operations in four countries — Kenya, Tanzania, Mozambique, and South Africa. It is continuing with its operations in Botswana, Zimbabwe, Zambia and Namibia. The multinational grocery and general merchandise retailer headquartered in…

Choppies resumes trading on its secondary listing JSE after 2 years ban

Nov 16, 2020Nov 16, 2020 Editor

SOUTH AFRICA – Botswana based retailer, Choppies Enterprises Limited has resumed trading on the Johannesburg Stock Exchange (JSE) after a two-year hiatus. Choppies, which has a primary listing on the Botswana Stock Exchange (BSE) and secondary listing on the JSE, was suspended from the local bourse in November 2018 after it delayed releasing its financial results. The lifting of the suspension follows the extensive engagement with the JSE after the local bourse BSE recommenced the trading of the company’s shares on its board on the 27 July 2020. This was after…

Botswana supermarket chain Choppies hits PwC with US$39.5m lawsuit

Oct 14, 2020Oct 14, 2020 Editor

BOTSWANA – Choppies Enterprises’ Senior Executives, CEO Ramachandran Ottapathu and founding member Ismail Farouk have served former auditors PricewaterhouseCoopers (PwC) with papers, suing them for R653 million (US$39.5m) for not signing off on the company’s 2018 accounts, which led to collapse in the value of their shares. The duo, according to Fin24, filed the lawsuit at the High Court in Gaborone, Botswana’s capital alleging that PwC didn’t complete the audit in part to pressure the company to hire PwC director Rudi Binedell as head of finance. “There was such a…

Choppies relists on Botswana Stock Exchange after 20-months suspension

Jul 28, 2020Jul 28, 2020 Editor

BOTSWANA – Choppies supermarket has resumed trading on the Botswana Stock Exchange after a 20-month suspension following the company’s failure to publish its financial results. The Botswana based retailer finally released its long awaited audited financial results for the year end-June 2019 on 24th July 2020. According to the company the changing of its auditors when PricewaterhouseCoopers (PwC) resigned in September 2019 and replaced by Mazars in February 2020, led to the delaying in publication. The group also faced legal and forensic investigations as well as the COVID -19 outbreak…

Choppies releases the anticipated 2019 audited results alongside its interim financials

Jul 27, 2020Jul 27, 2020 Editor

BOTSWANA – Botswana based retailer, Choppies Supermarket has finally released its long awaited audited financial results for the year end-June 2019, citing the changing of its auditors when PricewaterhouseCoopers (PwC) resigned in September 2019 and replaced by Mazars in February 2020, as the reason for the delaying in publication. The group also faced legal and forensic investigations as well as the COVID -19 outbreak and the lock-downs in the countries it operates which added to the hold up of results, highlighted the company. According to the company, its revenue for…

Choppies sells assets in Kenya’s shut operations to finance debt

Mar 23, 2020Mar 23, 2020 Editor

KENYA – Botswana based retailer, Choppies supermarket has put up for sale its retail equipment and property in Kenya weeks after scaling down local stores from more than 15 to two. The retailer, which did not specify in regulatory filings how much it expects to fetch, said proceeds will help to retire some of its debt. “Operations have since been scaled down to only two stores and negotiations are ongoing to sell equipment to local operators and/or existing landlords to clear some of the outstanding liabilities,” said the Botswana Stock…

Choppies exits South Africa with sale of stores to King Investments

Dec 4, 2019Dec 4, 2019 Editor

SOUTH AFRICA – Choppies Group has offloaded its South Africa stores and distribution centres to King Investments following the launch of open bids for its 88 stores in October to settle its outstanding debt. In August the Botswana retailer had identified its South African business as distressed and earmarked for disposal together with its Kenyan and Tanzanian business which they have started to receive interest on. The embattled company, which has a primary listing on the Botswana Stock Exchange and a secondary listing on the JSE, said SA businesses have…