MERGER

Quickmart, Tumaini supermarkets in planned merger

In Summary

•By merging the companies, the board of directors said it will lead to rapid growth by creating 30 retail stores by the end of 2019.

•The retail stores will be located in convenient neighborhood locations, they will sell a comprehensive selection of fresh groceries and fast-moving consumer and home good item. 

Quickmart and Tumaini announce plans to merge
Quickmart and Tumaini announce plans to merge
Image: COURTESY

Quickmart and Tumaini supermarkets board of directors have announced their planned merger.

In a statement signed by the two managing directors, Duncan Kinuthia (Quickmart) and Moses Nditika (Tumaini) on Thursday, the merger follows the approval by the Competition Authority of Kenya on August 26.

Sokoni Retail Kenya has put in an investment in Quickmart.

"Sokoni retail Kenya, a special purpose vehicle controlled by private equity firm Adenia partners, is also a majority shareholder of Tumaini self-service limited," reads the statement.

By merging the companies, the board of directors said it will lead to rapid growth by creating 30 retail stores by the end of 2019.

The retail stores will be located in convenient neighborhood locations, where they will sell a comprehensive selection of fresh groceries and fast-moving consumer and home items. 

The boards intends that the combined entity, which will run as the third largest retailer in Kenya by number of stores, will generate enhanced capacity accelerating the expansion of their stores' network.

The merger will also strengthen operational efficiency in line with international retail best practices allowing the company to invest in new initiatives.

This will create an enhanced customer experience, affordable products and deeper strategic relationships with partners in its supply chain.