The cash-strapped retailer will after close to 30 years of being in business close the branch as it seeks to keep up with the changing trends in modern trade.
“The decision is part of the retail store’s comprehensive turnaround plan and new cost management strategy that seeks to streamline its store portfolio and intensify cost efficiency efforts per store,” said the acting CEO Mohammed Mohammed.
The Chief Operating Officer Andrew Dixon noted that the retailer will henceforth relocate its branches to cost-effective locations as they seek to cut costs and recover from debt.
“We also remain focused on executing key initiatives to drive improved performance in an effort to strengthen our capital structure to support the business going forward,” he said.
Uchumi is also seeking to sell its land at Nairobi’s Kasarani area as part of its recovery strategy.
Mr Dixon also thanked Sarit Centre management and its esteemed customers for their loyalty over the years.
“We were among the first tenants. We wish to thank the management for their support over the years. We are also grateful to all our loyal customers who have stood with us.”
Uchumi for the half year ended December 2017 registered Sh895 million in losses, a 63 per cent increase from the previous year’s Sh547 million.
This was after the company received a Sh1.2 billion injection from the government to restock its shelves.
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