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Shoprite Directors Restrained by Court from Selling Assets Over N1.76bn Judgment Debt
A Federal High Court in Ikoyi, Lagos, has restrained the directors of Shoprite from selling the company’s shares or assets pending the full settlement of a N1.76 billion judgment debt.
The order was issued by Justice Ambrose Lewis-Allagoa following an ex parte application filed on November 21, 2025, in relation to a consent judgment earlier delivered on July 22, 2025.
The court also directed the company’s directors to disclose all movable and immovable assets belonging to the firm to the judgment creditor.
Counsel to the creditor, Tobenna Nnamani, had urged the court to grant garnishee orders to attach funds belonging to the judgment debtor across several financial institutions.
Following the ruling, the creditor’s legal team has requested detailed asset disclosures from Shoprite’s directors, including information on its distribution centre in Ajao, Lagos, as well as all trademarks owned by the company.
The case has been adjourned to May 7, 2026, for further proceedings.
Background
The legal dispute arose from a N1.76 billion debt linked to a breached settlement agreement involving Retail Supermarkets Nigeria Limited, the operator of Shoprite stores in Nigeria.
Two firms — African Retail Tabloid Limited and UEL Global Resources Limited — had filed separate claims against the company over unpaid debts.
African Retail Tabloid Limited sought the winding-up of the company over an alleged N440 million debt, while UEL Global Resources Limited pursued a N1.33 billion claim through summary judgment.
The parties later reached an out-of-court settlement, formalised by the court, requiring the company to pay a total of N1,765,991,433.23 in 13 instalments.
Under the agreement, payments were to be made into designated accounts with Zenith Bank, starting with N400 million in July 2025 and concluding in January 2026.
However, according to a demand letter dated November 7, 2025, the company failed to meet the agreed payment schedule, triggering a default clause. The clause stipulates that the entire outstanding sum becomes immediately payable and attracts an interest rate of 20 percent per quarter until fully settled.
The latest court order effectively prevents the company from disposing of assets until the debt is cleared.
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