JOHANNESBURG (Reuters) -South Africa's SPAR Group plans to sell its retail businesses in Switzerland and in the United Kingdom after completing a strategic review of its European operations, the
SPAR Group to Divest Retail Operations in Switzerland and the UK
JOHANNESBURG (Reuters) -South Africa's SPAR Group plans to sell its retail businesses in Switzerland and in the United Kingdom after completing a strategic review of its European operations, the retail and wholesale group said on Thursday.
The group, which owns several SPAR country licences of the Dutch SPAR group, has been trimming its international operations in order to "maximize the return on capital allocated". Last year it sold its loss-making Polish business.
The group said it was in exclusive talks with an established UK-based business over the sale of its UK operation Appleby Westward Group. The potential buyer, which SPAR did not name, was "well positioned to develop and grow AWG in South West England," it said.
In Switzerland, SPAR has been engaging established parties with extensive business interests in the region and experience in European food retail and distribution, it added.
"The group approach has been to engage parties whose interests align with the growth ambitions of the local management teams and retailer partners, and will ensure continuity for employees, suppliers and customers," SPAR said.
The Swiss business, with 300 stores, contributes 16 billion rand ($899 million) to group turnover, while the South West England unit contributes 6 billion rand.
Internationally, SPAR will be left with Ireland, its biggest overseas business, and a joint venture in Sri Lanka.
($1 = 17.7956 rand)
(Reporting by Nqobile DludlaEditing by Mark Potter)
