Audit shows Nakumatt lost US$178 million in fraud

KENYA - Retail chain Nakumatt has suffered about US$178 million in a fraud, which the management in a report attributed to stolen goods lost through shoplifting and petty thievery from employees, according to the Standard Digital report. The claims have left auditors who conducted an audit on the struggling retailer alarmed. This has left the…

Shoprite takes up Westgate and Garden City spaces

KENYA - South African retailer Shoprite will take up the Westgate and Garden City; as part of the two of seven prime spaces that Shoprite had secured at shopping malls in Kenya, targeting its retail market. According to real estate firm Knight Frank, the company's entry will hot up competition in Kenya’s retail sector. “Shoprite’s…

Nakumatt bid to sack 800 sparks war with union

KENYA - Troubled retailer Nakumatt has embarked on a massive layoffs plan targeting 800 employees in a move that has triggered a vicious war with the workers’ union. The company’s court-appointed administrator, Peter Kahi, said the layoffs are in line with the rescue plan he has crafted for the business that nearly collapsed under the…

Tuskys takes over management of Nakumatt’s operations

KENYA - Nakumatt Holdings Administrator Peter Kahi has announced the appointment of Tusker Mattresses Limited as the new managers for the troubled retailer. Mr Kahi said in a statement Friday that the appointment, which is subject to regulatory approvals, will see Tuskys assuming operations management aspects for the troubled retailer. To that effect, Tuskys and…

Carrefour spreads wings in Kenya amidst Nakumatt woes

KENYA - Carrefour, one of the largest hypermarket chains in the world, has opened its fourth outlet at Junction Mall in Nairobi, Kenya amidst struggling local retail sector in Kenya that has prompted closure of some outlets belonging to giant retailers. Carrefour has taken up the space that was vacated by Nakumatt Holdings allegedly due to debt…

Regulator rejects Tuskys-Nakumatt  deal, asks for revision

KENYA - The competition regulator has rejected retail chain Tuskys’ proposed merger with troubled Nakumatt Supermarkets, arguing that the application for regulatory review was done under the wrong clause of the antitrust law. In a letter to the two retailers seen by the Business Daily, the Competition Authority of Kenya (CAK) has advised that a…

Choppies builds US$200m war chest for branch expansion

KENYA - Botswana’s Choppies plans to open between 20 and 25 branches in Kenya, as it races to take advantage of the market gap created by woes facing Nakumatt and Uchumi. The retailer, which is largely a budget store with operations in seven African countries says it has Sh20 billion (US$200m) to pump into its expansion in Kenya in the next…

Tuskys faces probe over Nakumatt stocking plan

KENYA - The competition watchdog is investigating a deal in which supermarkets chain Tuskys is funding the restocking of troubled rival Nakumatt for possible breach of anti-trust regulations. Tuskys on Saturday announced that it had started restocking two of Nakumatt’s prime Nairobi outlets with the intention of including even more stores across the country. Sources…

Former Nakumatt Marketing head takes up Uchumi COO role

KENYA - Uchumi Supermarkets has appointed ex-Tesco executive Andrew Dixon as chief operating officer (COO) exactly a month after he left rival Nakumatt where he served as chief marketing officer. He joined Nakumatt in November 2016 in a move by the retailer’s management to seek outside assistance to help turnaround the business that is struggling…

Despite setbacks, Kenyan supermarket sector amongst best in Africa

KENYA - Kenya’s retail sector is still among the most attractive for long-term investors in sub-Saharan Africa despite cash flow challenges that have left giant Nakumatt Holdings on the brink of collapse, a new report has suggested. The interest is largely fuelled by the sector’s growth. It has outperformed the economy in the last five…