Advent International to Acquire Majority Stake in Walmart Brazil

Walmart Inc. to Retain 20 Percent Stake Upon Completion of Transaction

BOSTON & BENTONVILLE, Ark.–(BUSINESS WIRE)–Walmart Inc. (NYSE: WMT) and Advent International, one of the largest
and most experienced global private equity investors, announced that
Advent has agreed to invest in a majority stake in Walmart Brazil to
strengthen the business and position it for long-term success. Under the
terms of the agreement, Advent will hold 80 percent of Walmart Brazil,
and Walmart Inc. will retain the remaining 20 percent upon the
completion of the transaction. The transaction is subject to
regulatory approval in Brazil.

“We have been in Brazil for over 20 years and are excited about this
partnership with one of the country’s leading retailers,” said Patrice
Etlin, a Managing Partner at Advent International in Brazil. “We believe
that with our local market knowledge and retail expertise we can
position the company to generate significant results and reach new
levels of success in Brazil. We plan to invest in the business, work
with the Walmart Brazil management team, associates, Walmart and our
industry advisors to create a more agile and modern company to
accelerate its development and improve the customer experience.”

Advent is a global private equity fund with a strong local presence and
extensive experience in retail investment both in Brazil and
internationally. Since the opening of its São Paulo office in 1997, the
fund has invested in 30 Brazilian companies from various sectors. Advent
has been active in the retail, consumer and leisure segments worldwide
for 28 years and has completed 75 investments in 22 countries.

“Walmart is committed to building strong, resilient businesses that
continuously adapt to local customers’ needs in a rapidly changing
world,” said Enrique Ostale, EVP and CEO of Walmart UK, Latin America
and Africa. “We will retain a stake in Walmart Brazil and continue to
share our global retail expertise, giving our Brazil business the best
opportunity for long-term growth, providing opportunities for associates
and low prices for customers.”

The decision to partner with Advent in Brazil results from a thoughtful
and deliberate review of Walmart’s international portfolio. As a result
of the transaction, Walmart expects to record a non-cash, net loss of
approximately $4.5 billion as a discrete item in the second quarter. A
significant portion of the net loss is due to the recognition of
cumulative foreign currency translation losses and the final loss could
fluctuate significantly due to changes in currency exchange rates up to
the date of close. Following an anticipated close later this
year, Walmart expects no ongoing material impact to EPS in the current
fiscal year and a slight positive impact next fiscal year.

Walmart was advised by Goldman Sachs & Co. LLC., and Advent
International was advised by Credit Suisse and Euro Latina Finance.

About Walmart

Walmart Inc. (NYSE: WMT) helps people around the world save money and
live better – anytime and anywhere – in retail stores, online, and
through their mobile devices. Each week, nearly 270 million customers
and members visit our more than 11,700 stores under 65 banners in 28
countries and eCommerce websites. With fiscal year 2018 revenue of
$500.3 billion, Walmart employs approximately 2.3 million associates
worldwide. Walmart continues to be a leader in sustainability, corporate
philanthropy and employment opportunity. Additional information about
Walmart can be found by visiting http://corporate.walmart.com,
on Facebook at http://facebook.com/walmart and
on Twitter at http://twitter.com/walmart.

About Walmart Brazil

Having a presence in Brazil for the last 22 years, Walmart Brazil has
today 438 stores in 18 states, with 55,000 associates. In 2017, the
company’s total sales were more than R$25 billion.

About Advent International

Founded in 1984, Advent International is one of the largest and most
experienced global private equity investors. The firm has invested in
over 330 private equity transactions in 41 countries and as of December
31, 2017, had $42 billion in assets under management. With offices on
four continents, Advent has established a globally integrated team of
over 190 investment professionals across North America, Europe, Latin
America and Asia. The firm focuses on investments in five core sectors,
including business and financial services; healthcare; industrial;
retail, consumer and leisure; and technology, media and telecom. After
more than 30 years dedicated to international investing, Advent remains
committed to partnering with management teams to deliver sustained
revenue and earnings growth for its portfolio companies. For more
information, visit www.adventinternational.com.

About Advent International in Brazil

Advent International has been present in Brazil for more than 20 years.
During this time, it has invested in 30 Brazilian companies, always with
a strategy focused on revenue growth and operational excellence.
Advent’s Brazilian investments have included several retail companies
such as Dufry, the largest global travel retailer, Quero-Quero, Allied,
International Meal Company and Fortbras.

Forward Looking Statements

The statements in this press release regarding the impact of this
transaction are believed to be “forward-looking statements” within the
meaning of the Private Securities Litigation Reform Act of 1995, as
amended (the “Act”), that are intended to enjoy the protection of the
safe harbor for forward-looking statements provided by the Act. These
forward-looking statements are subject to certain risks, uncertainties
and other factors.

Contacts

Walmart Media Relations:
U.S.:
Kevin Gardner, 1-800-331-0085
news.walmart.com/reporter
or
Walmart
Brazil Media Relations:
Luiz Herrisson, + 55-11-2103-5442
luiz.herrisson@walmart.com
or
Tania
Longaresi, + 55-11-21035536
Tania.longaresi@walmart.com
or
Advent
Media Relations:
Brazil:
Nova PR
Tiago Lethbridge,
+55-11-99641-1444
tiago.lethbridge@novapr.com.br
or
International:
Abernathy
MacGregor
Chuck Dohrenwend, +1-212-371-5999
or
Dana
Gorman, +1-212-371-5999
adventinternational@abmac.com
or
Investor
Relations:
Walmart Inc.
+1 (479) 277-8782