(Last Updated On: October 28, 2016)
If you have been on social media, you would have seen Nakumatt being mentioned all over that they were in problems. Photos have been circulating on social media depicting the empty shelves in Nakumatt’s branch in Uganda.
This is Nakumatt Naalya in Kampala, Uganda. As you can see, the shelves are strikingly empty. Something that is not expected of the biggest retail chain supermarket in the region.
So why is this happening?
Many suppliers have stopped placing their products on the shelves of Nakumatt until they receive payments of their previous supplies. The management themselves admitted the company is in the red and needs a strategic investor to help relieve its massive debt burden of a reported sum of Ksh15bn. They also blamed a depressed economy, high operating costs and risk management as the biggest causes of their poor cashflows.
If they don’t solve this issue, very soon we may see lots of pop corn on Nakumatt’s shelves just like Uchumi once did when they had empty shelves.