ABUJA, Aug 29 (Reuters) - Nigerian conglomerate UAC Plc
has signed an agreement to acquire the minority shares
of its unlisted subsidiary UAC Foods from South Africa's Tiger
Brands next month, it said.
The sale makes Tiger Brands the latest South African
business to exit Nigeria, Africa's most populous nation and
largest economy, where economic weakness last year curbed
consumer demand, input cost rises have cut into margins and
currency volatility has further eroded profits.
UAC, with interests in real estate, paints and livestock
feed, said it will operate Tiger Brands' food company, after the
acquisition closes in September.
Tiger bought 49% of UAC's food business in 2010, when
Nigeria was touted as the next growth spot for retailers.
Other South African companies that expanded into Nigeria and
have since decided to leave are Shoprite and Massmart
Recession in Nigeria in 2020 sapped demand, although the
economy has recovered, growing 5% in the second quarter of this
(Reporting by Chijioke Ohuocha; editing by Barbara Lewis)