Insolvency RecordCASE FILES

Kenya ยท Retail (supermarkets)

Nakumatt Holdings Limited insolvency: proceedings and outcome

Nakumatt, a family-owned Kenyan supermarket chain founded in 1987 that at its peak had 62 branches in Kenya, Uganda, Tanzania and Rwanda, ran into cash-flow problems from 2016. In January 2018 the High Court placed it under administration with Peter Kahi as administrator. It owed about 40 billion Kenya shillings by that time, according to the Daily Nation. Its last six branches were sold to Naivas in December 2019 and creditors voted to liquidate the company in January 2020, according to Wikipedia.

Liquidated Revival under administration did not succeed. Remaining branches were sold to Naivas and creditors voted for liquidation.1,2

First filingJanuary 2018
Liabilities reportedKES about 40 billion
Assets reportedKES fixed assets of 4.9 billion and net working assets of 4.2 billion (most recent audit)
Proceedings2

Debt owed by the time of administration, per the Daily Nation, which said a full asset sale would leave a shortfall of over 30 billion shillings.1

Proceedings

TypeCourt or bodyCaseFiled
Administration1,3High Court of Kenya (Justice Fredrick Ochieng), administrator Peter Kahi, KenyaJanuary 2018
Liquidation2Creditors' vote, Kenya7 January 2020

Timeline

  1. Nakumatt's cash-flow problems began.1,2
  2. The company ran out of funds, did not pay rents or wages, and 60 stores closed, according to Wikipedia.2
  3. Justice Fredrick Ochieng of the High Court allowed Peter Kahi to take over as administrator, according to a report published on 23 January 2018 that put debts at more than 300 million USD.3
  4. Nakumatt sold its remaining six branches (Mega, Prestige, Lavington, Kisumu, Embakasi and Nakuru) to Naivas Supermarket, with December 2019 as the date given by Wikipedia.1,2
  5. Creditors voted to liquidate the company.2

Sources

  1. Daily Nation (Nation Media Group), Death of Nakumatt after revival efforts fail (28 June 2020)
  2. Wikipedia, Nakumatt (27 October 2026)
  3. CNBC Africa, Kenya's Nakumatt supermarkets goes into administration (23 January 2018)