Uchumi has already appealed against the High Court ruling and is expected to contest the court’s reliance on the harsher old Companies Act. This comes at a time when the retailer is engaged in what is perhaps its fiercest fight for survival after a High Court ruling that paved way for its liquidation. However, the CS was silent on Uchumi, which had already requested for Sh1.2 billion to settle part of the suppliers’ Sh3.6 billion debts. With a total of 300 million shares, it means Uchumi investors have lost a whopping Sh6.03 billion in paper value. Kipng’etich said already, money had started flowing into an escrow account opened and operated by both suppliers and the Uchumi management as a security measure.

Source: Standard Digital June 21, 2016 20:26 UTC