BENTONVILLE, Arkansas (
on Monday offered to acquire 51% of South Africa's
for 148 rand ($20.78), or about $2 billion.
Wal-Mart, in a statement, said the offer represents a 19.2% premium to the 30-day weighted average price on Sept. 23, the last trading day prior to when the companies announced they were first in talks.
Massmart's board has approved Wal-Mart's offer.
Massmart will continue to be listed on the Johannesburg Stock Exchange, addressing a concern of some major Massmart stockholders that led Wal-Mart to revise an earlier bid to buy all of Massmart.
Johannesburg-based Massmart runs about 290 big box, pharmacy and electronics stores in 13 African countries, mostly in South Africa, according to the
"We continue to be excited by the opportunity to invest in Massmart's business and to accelerate its growth and expansion in South Africa," said Doug McMillon, president and CEO of Wal-Mart International, in a statement. "The more we learn about South Africa and the surrounding countries the more we are convinced that this is an important region with attractive growth characteristics."
-- Written by Joseph Woelfel
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