This archive report was first published on 7 January 2020.
Published on January 7, 2020, Nakumatt's creditors have made a unanimous decision to dissolve the once-giant retailer.
The decision comes after efforts to revive the supermarket chain failed, with creditors including banks, suppliers, and landlords owed a staggering Sh38 billion.
The court will decide on the liquidator on January 17, marking the formal end of the Nakumatt brand.
Nakumatt's downfall began in 2017 when it was forced to shut dozens of outlets due to its struggles in repaying suppliers, landlords, and other creditors.
By February 2017, Nakumatt had 60 branches, but this number dropped to six in September 2018, with the remaining branches sold to Naivas in a deal worth Sh422 million in November.
Its sales plummeted to Sh1.9 billion in the year to February, down from Sh51.9 billion in a similar period in 2017.
Despite seeking protection using Kenya's newly enacted company laws, Nakumatt's attempts to avoid complete collapse were unsuccessful.
Administrator Peter Kahi presented the liquidation plan to the creditors in their only meeting on Tuesday, stating that an attempted turnaround of the business would be costly and likely to result in additional debt.
