Court Halts Sale of Novare/Shoprite Malls Across Nigeria

A Federal Capital Territory High Court has restrained a South African company, Novare, and its subsidiaries, from selling off their assets in Nigeria.

Novare is the owner of retail malls that includes Shoprite Stores as its anchor retail s tenants.

Justice Peter Kekemeke gave the interim order following an ex-parte motion moved to the effect by counsel to the applicants, Darlington Ozurumba.

It was learnt that Grand Towers Reality Ltd, Grand Towers Plc and Nze Chidi Duru, who were applicants in the suit marked: FCT/HC/0224/2017 with motion on number: M/13811/2023, are the Nigerian partners to Novare Investment (PTY) Ltd, owners of Shoprite.

They had sued Novare Investment (PTY) Ltd, Novare Equity Partners (Proprietary Ltd), Novare Fund Management Ltd, Novare Africa Fund Plc and Mr Derick Roper as 1st to 5th defendants respectively.

In the motion dated 3 October, the applicants asked the court for an interim order restraining the defendants from selling, leasing, or transferring interests of the property or assets known as Novare Mall Lekki, Lagos State; Novare Mall, Sangotedo, Lagos; and Novare Gateway Mall, Lugbe District, Abuja.

Others include Novare Mall, Apo, Abuja; Novare Central Mall, Wuse Zone 5, Abuja, and all other Novare Malls under construction in Nigeria, pending the hearing and determination of motion on notice.

Justice Kekemeke consequently granted the order of interim injunction after Ozurumba moved the motion on 6 November.

The certified true copy of the order was made available to journalists last week in Abuja.

The judge adjourned the matter until 13 February 2024, for a hearing of the motion on notice.

The development is the latest in the lingering legal battle between the parties since 2017 following Novare’s plans to divest from Nigeria, citing supply chain disruptions and difficulty in the repatriation of funds.