A Nakumatt Supermarket branch. [Photo/Standard]
The troubled supermarket chain has filed for bankruptcy.
If successful, it will mean that the entity will not be able to pay its debts.
Nakumatt has been experiencing financial problems and owes creditors over Sh 30 billion.
“The directors of Nakumatt Holdings Limited (“Nakumatt”) have today (30/10/2017) applied to the High Court for an administration order in accordance with section 532(1)(b) of the Insolvency Act (2015) (“Act”).” The company said in a statement.
The bankruptcy petition has few details about the company’s finances, buts states that the company doesn’t have the assets to repay clients and other creditors.
The firm has proposed that Mr Peter Kahi of PKF Consulting Limited be appointed as an administrator and will perform his functions in the interests of Nakumatt’s creditors.
High Court Judge Justice Joseph Onguto has ordered that the application for bankruptcy to be heard on 8th November 2017.
Over this period, Nakumatt shall continue to trade normally.