Shoprite buys Vida e Caffè as it expands into coffee and small-business payments

Shoprite is buying Vida e Caffè, adding one of South Africa's best-known coffee chains to its retail business. The group has agreed to acquire 100% of Vida e Caffè, which has around 400 corporate and franchise stores. Shoprite announced the deal on 1 September as part of its annual results. The agreement was signed on 20 August and still needs to meet the required conditions before it can be completed. Vida e Caffè has stores in shopping centres, office buildings and petrol stations. It also operates drive-through outlets. Shoprite has not disclosed how much it will pay for the business. The acquisition comes alongside another deal that is more directly linked to small businesses.

Shoprite takes 51% of R&A Cellular

Shoprite has acquired 51% of R&A Cellular, a South African technology and payments company that works with informal and semi-formal retailers. The transaction was completed on 14 August. The purchase price has not been disclosed. R&A Cellular provides point-of-sale devices to smaller retailers. The devices allow businesses to sell services such as airtime and electricity. Shoprite said it plans to expand the company's network and add more services. This puts Shoprite closer to businesses that operate outside the formal supermarket sector. South Africa has a large informal retail market, including spaza shops and other small stores that serve local communities. For these businesses, selling airtime, electricity and other services can provide an additional source of income alongside their normal retail sales. A wider network of point-of-sale devices could also give these retailers access to more digital payment and transaction services.

What it means for small businesses

The R&A Cellular deal is likely to have a more direct effect on small businesses than the Vida e Caffè acquisition. Shoprite has said it wants to expand the network and introduce more services through the platform. The exact products and services have not yet been detailed. For small retailers, the main issue will be whether those services make it easier and cheaper to serve customers. Many smaller shops already use point-of-sale devices to handle transactions that go beyond selling groceries. A single device can allow a shop to sell airtime, electricity and other digital services without having to deal with several different providers. More services could give these businesses additional revenue opportunities. 

There is also a potential benefit for customers. A local shop that can offer more payment and digital services can become more useful to people who live nearby. However, the deal does not automatically mean that small retailers will benefit. Much will depend on the fees charged for the services, the cost of the devices and how widely the network is expanded. For a small shop working with tight margins, even relatively small transaction fees can make a difference.

Vida e Caffè brings a different opportunity

The Vida e Caffè acquisition is less directly connected to small businesses, but it could have an effect on franchise operators. The chain has around 400 corporate and franchise stores, meaning part of the network is operated by franchisees rather than directly by Vida. Shoprite will therefore be taking control of an established franchise network as well as its corporate stores. For existing franchisees, the change in ownership could bring access to a much larger retail group. 

Shoprite has thousands of stores across its businesses and a large supply chain. How much of that infrastructure becomes available to Vida franchisees will depend on how Shoprite integrates the business. For people looking to start a small food or coffee business, the acquisition is also worth watching. Buying an established franchise is very different from opening an independent coffee shop. A franchise can provide an existing brand, operating system and supplier network, but it also comes with costs and rules that an independent business does not have. Shoprite has not yet provided details on whether the acquisition will lead to changes in Vida e Caffè's franchise model.

Shoprite is still focused on its main business

Despite these acquisitions, Shoprite remains primarily a supermarket group. The company reported R270.8 billion in merchandise sales for the year ended 28 June 2026, up 7.2% from the previous year. Its Sixty60 delivery business also continued to grow. Sales increased 34.5% to R25.5 billion during the year. The new acquisitions are therefore small compared with Shoprite's existing retail operations. But they give the group businesses in areas that sit alongside its supermarkets. 

Vida e Caffè is a consumer-facing coffee business with hundreds of locations, while R&A Cellular provides technology and payment services to smaller retailers. For small businesses, the R&A Cellular deal is the one to watch more closely. If Shoprite expands the network and adds useful services without pushing up costs for retailers, it could give smaller shops another way to make money and serve customers. If the costs are too high, however, smaller retailers may have little reason to switch or add more services.The impact will become clearer as Shoprite sets out how it plans to run the business. For now, Shoprite has not disclosed the price of either acquisition. The Vida e Caffè transaction is also still subject to the remaining conditions and is expected to take effect during Shoprite's 2027 financial year.