US based retail chain Wal-Mart Stores Inc (WMT.N) on 29 November 2010 agreed to pay $2.3 billion for control of South African company, Massmart Holdings Ltd (MSMJ.J). The decision will enable world’s largest retailer a substantial presence in South Africa and paving the way for further expansion across the continent. The Wal-Mart tie-up is expected to help discount retailer Massmart in its expansion in sub-Saharan Africa. Maasmart will also be able to further increase its food retailing business in sub-Saharan Africa.
Wal-Mart will pay 148 rand for a 51 percent stake in Massmart, which has a presence in 14 countries in Africa.
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