Massmart said the proposal was approved by 97 percent of shareholders who voted Monday -- 75 percent had been needed. Wal-Mart offered 148 rand (about $20) per share in a 17 billion rand (about $2 billion) deal.
The deal will have to be approved by South Africa's anti-monopoly regulators.
Massmart CEO Grant Pattison said once the deal goes through, Massmart will continue to operate the stores and continue to be listed on the Johannesburg Stock Exchange, while Wal-Mart will be the main owner. Massmart runs about 290 big box, pharmacy, electronics and other stores in 14 African countries.
"They are a great retailer and we really are looking forward to learning something from them, and teaching them something about Africa," Pattison told The Associated Press. "We're excited because they're coming as our partners."
Monday, January 17, 2011
Walmart goes to Africa; buys out South African retail chain.
Its easier for them to get into South Africa than it is to get into New York City.