This archive report was first published on 25 August 2020.
Published on August 25, 2020, Tuskys Supermarket, Kenya's second-largest retailer, has secured a Ksh2 billion ($20 million) rescue deal with a Mauritian fund to address its financial struggles and restock its stores.
The retailer, which operates 53 stores across the country, has been facing significant challenges, including mounting debts, disgruntled employees, and dwindling supplier confidence.
According to a statement released by the retailer, the funding is subject to certain conditions and will help alleviate its current capital constraints impacted by the COVID-19 pandemic.
Tuskys Chairman Bernard Kahianyu said, 'This funding will help alleviate our current capital constraints impacted by Covid-19 and further reposition the business for increasing stakeholders' value.'
He added, 'We wish to reiterate our commitment to resolve the underlying working capital challenges quickly. This funding will provide the needed impetus to our overall capitalisation journey.'
The retailer had earlier committed to bringing on board a strategic investor by July 31 and exploring additional funding options to save the collapsing retail giant.
