The woes of Kenyan supermarket chain Nakumatt continue as their Katwe branch, located at Muganzirwazza Mall was closed yesterday over non-payment of rent amounting to $82,000 (about Shs297m).
Nakumatt faced a different 2016 with empty stalls characterising many of their branches as many suppliers had stopped dealing with the giant retail chain over non-payment for their goods.
Nakumatt addressed the issue, blaming the harsh economy that had caused them cash flow issues. They however insisted they were not leaving the Ugandan market dispelling rumours of their exit.
In January, Hair Care Centre Uganda Limited sued Nakumatt seeking recovery of Shs93.8m owed to it for goods supplied and general damages for breach of contract.
Supermarket business has suffered a hit in Uganda with Kenyan giant Uchumi exiting the market, and shoprite selling off to someof its branches to Nakumatt which has soldiered on albeit haphazardly.
Samil Shah, Nakumatt Uganda Country Manager said the closure was unexpected and that they are engaging the landlord to have the store re-opened.
