Nakumatt completes restocking five main branches in Nairobi

A shelf at one of the major Nakumatt branches which were restocked on Friday, January 5, 2017. /COURTESY
A shelf at one of the major Nakumatt branches which were restocked on Friday, January 5, 2017. /COURTESY

Nakumatt restocked five of its major branches in Nairobi on Friday, bringing to the fore the behind-the-scenes recovery deals that are expected to pump life in the sinking giant retailer.

''Your favorite brands are now available. We have restocked Nakumatt Mega, Nakumatt Prestige, Nakumatt Lavington, Nakumatt Ukay and Nakumatt Village,'' read a tweet by the retailer.

Although Nakumatt managing director Atul Shah declined to comment on the sudden restocking, the retailer's communication firm attributed it to key supplier partnerships.

This came barely three days after goods at Nanyuki mall were thrown out by disgruntled owner over Sh36 million rent debt.

A spot check by the Star at the Ukay revealed that the shelves were unusually full, with the grocery section which has been running dry for sometime beaming green.

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Erick Lihondo, the branch manager, confirmed that more stock was delivered at the store on Friday.

He said the restocking has been happening gradually for the last one month adding that they are optimistic the situation will be sustained due to cordial relationship with suppliers.

"This has been happening for a month now. When we replenish the stock, we receive more from our suppliers."

"We hope this will extend to other branches across the country," Lihondo said.

Speaking to the Star in an earlier interview, Shah revealed that they are working on a recovery plan to be made public in the next few days.

"I can assure you Nakumatt will be back on its feet very soon. I can't reveal anything to you now, just give me some few days."

Nakumatt is reeling under huge debt estimated at Sh36 billion which has forced it to close tens of its branches in Kenya, Uganda and Tanzania in a span of 18 months.

Its prospects are hanging in the balance after the Competition Authority of Kenya rejected its proposed merger with Tuskys.

According to CAK, the application submitted for regulatory review was done under the wrong clause of the antitrust law.

However, the agency advised the two retailers to make a fresh application or an exemption from regulations on anti-competitive behaviour rather than approval for the merger.

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