Uchumi has been given 30 more day to engage various commercial banks across the country in a bid to resolve the Ksh.2.8 billion debt to enable it resume operations.
The High Court Commercial and Tax Division has now given the bank extra time so that it can consult different banks within its reach to find a long lasting solution towards the matter.
The firm has been cash-strapped after it emerged that it is unable to pay its debts.
The court on September 27th ordered the firm to abide by the supermarket’s Company Voluntary Agreement (CVA) that was meant to see it pay the debt owed to the debtors.
The firm has now started engaging with the creditors as it seeks to find a solution on the matter.
Uchumi Chief Executive Officer Mohamed Mohamed told Citizen Digital on Saturday confirmed that the business is out to ensure it resumes operations.
“It’s a step in the right direction as the extension gives us a bit of time to better execute the recovery strategy,” Mohamed said.
He added: “The CVA will change Uchumi to a large extent especially from a balance sheet restructuring point of view.”
The board of management has also started deliberating on the issue after the firm started facing financial crisis.