KRA sues Airtel for Sh531 million fifteen-year claim

The Kenya Revenue Authority (KRA) is pursuing Airtel Kenya for Sh531 million taxes it claims the telco owes from its first two years of operation in Kenya. KRA says the amount arose from Airtel’s $55 million (Sh5.6 billion) purchase of an operating licence in the year 2000. The Commissioner of Income Tax wants the High Court to declare Airtel in default of the amount and settle the 15-year due [...]

Uchumi puts up Nairobi mall for sale at Sh2bn

Retail chain Uchumi is selling the building that hosts its flagship Ngong Hyper outlet in Nairobi as part of a debt settlement plan meant to put the troubled supermarket back on track. Uchumi Ngong Hyper, which is located on Ngong Road, is being sold to owners of the Thika Road Mall (TRM) at a price of Sh2 billion. TRM owners have also expressed interest in acquiring Uchumi’s 20-acre piece of land located in Nairobi’s Kasarani area at a price of Sh3 billion. Uchumi chief executive officer Julius Kipng’etich said the retailer needs the money to pay suppliers given the limited options it has to raise funds [...]

Uchumi Uganda branch raided over Sh5m debt

The bailiffs stormed Uchumi Garden City branch after securing a court order, aiming to seize the company’s properties. According to the court bailiffs from Push and Recovery Agency, Uchumi owes Ugachick, one of the store’s major chicken suppliers, more than USh185 million (Sh5.2 million) for products supplied between March and July [...]

NSE investors lose Sh200 million worth of stock value in a day

The Nairobi Securities Exchange (NSE) Tuesday continued its bear run losing 12.79 points to trade at levels last seen in 2012. The NSE 20 Share Index closed at 3,978.70 points from Monday’s 3,991.49, a market report from the bourse showed. Investors’ wealth as measured by the market capitalisation has dropped to Sh1.96 trillion from Sh1.98 trillion on Monday, wiping out more than Sh200 million in value in just one day [...]

KenGen eyes Sh1.8bn Treasury debt pay cut after rights issue

Power producer KenGen is targeting a Sh1.8 billion cut in annual debt repayments to the Treasury through a balance sheet restructuring planned for the first three months of next year. KenGen says the rights issue, whose details are currently under review by the regulators, will enable it to reduce its government debt burden and receive a cash injection from minority shareholders [...]

H Young credit rating up on rising profitability and debt reduction

Construction firm H Young’s credit rating has been raised following a reduction of its debt and higher profitability. South African rating agency Global Credit Ratings (GCR) has accorded the regional construction firm a long term rating of A3 – up from B in October last year – and a short term rate of BBB- from BB+ [...]

Longonot Gates developers unveil new marketing unit

The developers of Longonot Gates resort have launched a new company which will market all its future projects. Resorts & Cities Ltd chairman Lee Karuri said that the developers want to benefit from creating a recognisable brand in the real estate industry that would in turn make it easier to market their property products [...]