This archive report was first published on 3 August 2020.
Naivas Supermarket has solidified its position as Kenya's leading local retailer, following the successful sale of a 30% stake that has generated Sh. 6 billion and taken the retailer's value to Sh. 20 billion.
The stake was sold to a consortium of investors, including the World Bank's International Finance Corporation (IFC), which invested $15 million (Sh. 1.6 billion), and German sovereign wealth fund DEG, which provided $10 million (Sh. 1 billion).
According to a report by Business Daily (August 3, 2020), Naivas' valuation now surpasses that of all but one company listed on the Commercial and Services segment of the Nairobi Securities Exchange, including Uchumi Supermarkets (Sh. 128 million) and Scangroup (Sh. 4.8 billion).
Meanwhile, Tuskys Supermarket, Kenya's second-largest retailer, is facing financial difficulties and is seeking a capital injection of up to Sh. 2 billion to fund its immediate survival. However, the retailer is being hindered by sibling fights that have kept prospective investors at bay.
