Kenya: Struggling Nakumatt Closes Westgate Mall Branch
9 October 2017
The Nation (Nairobi)Kenya: Struggling Nakumatt Closes Westgate Mall Branch
Nairobi's Westgate mall.
Struggling Nakumatt Supermarket has announced the closure of its Westgate branch, as the retailer's troubles persist.
In a public notice, Nakumatt announced on Saturday that the branch will be closed from Sunday, October 8, until further notice.
The closure comes barely a week after Junction Mall directors closed a branch at the premises.
However, Nakumatt, which accused the mall's owners and managers of using underhand tactics in closing the branch, got a reprieve after getting a court order blocking the shutdown pending a hearing on October 16.
The family-owned business is fighting to cut back on massive debts owed to suppliers estimated at Sh15 billion as at February 2015, a situation that has been pilling pressure on its operations.
Last month, the retailer shut down its Thika Road Mall (TRM) branch, barely a month after closing its outlet at the NextGen Mall on Mombasa Road after just nine months of operations.
FOUR BRANCHES CLOSED
Westgate is the fourth key branch to be closed in less than two months.
The branch, which opened in 2009, had been shut in 2013, after Westgate Mall was destroyed during a terrorist attack by Somalia's Al-Shabaab militia in September of that year, in which at least 67 people died and billions of shillings lost by businesses.
It resumed operations in 2015.
Nakumatt has closed several other branches in recent months, some on grounds of poor performance.
These in clude Haile Selassie branch located at the Kenyatta University Plaza and Ronald Ngala branch.
It also also closed a branch in Uganda that had accumulated rent arrears estimated at about Sh8.5 million.
Nakumatt and Tuskys recently announced confidential merger talks, but a formal agreement was yet to be reached.
Business DayDuale to Seek MPs Approval of Sh11.5 Billion for Poll
Majority Leader in the National Assembly Aden Duale says he will be requesting MPs to approve the release of Sh11.5â¦ Read more Â»
Copyright Â© 2017 The Nation. All rights reserved. Distributed by AllAfrica Global Media (allAfrica.com). To contact the copyright holder directly for corrections â" or for permission to republish or make other authorized use of this material, click here.
AllAfrica publishes around 900 reports a day from more than 140 news organizations and over 500 other institutions and in dividuals, representing a diversity of positions on every topic. We publish news and views ranging from vigorous opponents of governments to government publications and spokespersons. Publishers named above each report are responsible for their own content, which AllAfrica does not have the legal right to edit or correct.
Articles and commentaries that identify allAfrica.com as the publisher are produced or commissioned by AllAfrica. To address comments or complaints, please Contact us.Source: Google News