The downfall of giant retailer Tuskys Supermarket could happen sooner than expected, even as it shuts down more branches as cash flow issues worsen.
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The cash strapped retailer has in the past few months faced increasing challenges paying its workers, suppliers and bills such as rent.
Currently, Tuskys owes its creditors well over Ksh6 billion and it is now banking on a Ksh2 billion capital injection from a Mauritius-based firm for its short-term cash troubles. In September, Tuskys announced that it had received a Ksh500 million capital injection, part of the Ksh2 billion from a Mauritius-based investor.
However, it later emerged that the unnamed investor is demanding that the seven siblings who own Tuskys place all their shares as security for the loan, which they will have to cede in case they default the loan.
On Thursday, October 29, the retailer shut down three more branches including Tuskys Pioneer on Moi Avenue in Nairobi, Adams Arcade branch and its Kitengela store.
Tuskys Pioneer is the second branch in Nairobi’s CBD shut down by the retailer in less than one week, after the Ronald Ngala branch. The three make five the number of branches closed in one week, the fifth one being the Kakamega branch.
More are going to shut down. That company is on a steep decline. HQ furniture and electronics were being taken away by auctioneers some time ago. You can imagine how bad it has to get for auctioneers to come for the HQ.
Hakuna firm kama hii. No foreign investor would be this dumb.
Dan Githua, I suspect is trying to play his cards right to acquire some shares and eventual majority shares. He is a calculating and conniving POS.
The saddest thing is that because Tuskys is a limited company, Dan Githua will keep all the loot that the auditors/investigators cannot trace. Basically his lifestyle will not change after he kills a company that was thriving
And BTW he is an Auditor by profession.
Since auditors are over qualified accountants, he knows all the loopholes. Being an MD makes it easier for him to exploit these loopholes.
Hizo pesa za kampuni ziko Mauritius au Panama.
Our Tuskys rewards card has over 1,000 points so we will be losing those points. I imagine kuna watu wamepoteza over 5,000 points, ouch!
But you got and enjoyed the full value of whatever you bought to get the points. Points are just a tap on your back for a job well done. It’s also a bait to keep you coming for more. It’s not binding or enforceable to any party
They chased a CEO like a dog from their office few years ago,Atleast they are not blaming an outsider for their troubles.
Jinga zimefunga even their very first /pioneer supermarket in Nakuru,wangejaribu kui resuscitate
Milele mall in Ngong town is also in serious need of a new anchor tenant as the tuskys there is basically dead. Carrefour or Quickmart will help bring the place back to life as most shops in the mall have also shut down.
The problem with milele mall is PCEA elder in enchoro munyi in decision making,surely either Carrefour or quickmart should have taken that place and save the struggling business affected by reduced footfall, between the hub Karen and that milele mall which is more strategic and with impeding opening of Ngong market adjacent
What would happen if either quickmart or carrefour took over as i understand selling of any alcoholic drinks or cigarettes within their premises is a big no and both supermarket chains have a thriving wines and spirits.