Tuskys Supermarket shareholders agree to offer majority stake to strategic investor
Shareholders of Tuskys Supermarkets have agreed to offer a majority stake to a strategic equity investor.
In a statement, the 7 shareholders of Orakam Holdings – the company that owns Tusker Mattresses Limited have said the equity investor will be required to provide strategic leadership for the long-term growth of the supermarket’s business.
Sources close to the transaction advisors say the supermarket is looking to raise at least KSh. 6 billion to recapitalise its business.
The retail chain is currently facing challenges in paying its suppliers.
Last week, the Competition Authority of Kenya indicated that Tuskys had made payments to suppliers to the tune of KSh. 2.77 billion during the month of June, as per the Competition watchdog’s directive.
The supermarket is expected to end its search for a strategic investor by Friday, July 31, 2020.