Property of Juhudi Investment, guarantors of Kaluworks Limited, a subsidiary of billionaire Manu Chandaria’s Comcraft Group, is facing the auctioneer’s hammer over default. The firm's financial woes forced underwriter, Sanlam Plc write off Sh1.15 billion. The firm started hitting rock bottom in 2012 when it issued the Sh1 billion bond with a tenor of seven years to fund its expansion plans, which saw its debt position soar to Sh4.6 billion at the end of 2012, compared to Sh1 billion in 2008. An insider who sought anonymity told the Star yesterday that the firm's sales were intact, pointing the financial woes to mismanagement. Apparently they have to purchase raw materials from another local subsidiary ...we know how the story goes,'' he said, alluding to inside trading.

Source: The Star January 17, 2020 00:56 UTC