The legacy of one of East Africa’s retail giants is facing a dramatic turn as Standard Chartered Bank Kenya moves to auction assets belonging to Nakumatt Investments Limited to recover an outstanding debt of KSh 1.9 billion.
The bank issued a public notice on March 5, 2026, warning Nakumatt Investments that it must clear the debt within 90 days or risk losing its properties under Section 90 of the Land Act, which allows lenders to sell charged assets to recover unpaid loans.
According to the notice, Nakumatt Investments defaulted on multiple credit facilities, including a term loan, import invoice finance, and an overdraft facility. The total liabilities stand at USD 331,872.95 (KSh 42.86 million) for the overdraft, USD 6,993,052.49 (KSh 903.2 million) for the term loan, and KSh 967,173,402.82 for the import finance facility.
The properties flagged for auction are tied to charges created to secure the loans: land in Mombasa valued at KSh 4.05 million, Nakuru municipality block 9/47 at KSh 20 million, and two additional plots in Nakuru totaling KSh 68.5 million. Interest, costs, and legal expenses are set to accrue if the debt remains unsettled.
Nakumatt’s fall from Kenya’s retail peak has been steep. Once a household name with 65 outlets across Kenya, Uganda, Rwanda, and Tanzania, the supermarket chain recorded a gross yearly turnover of KSh 48.5 billion as of December 2015 and employed approximately 5,500 people.
However, by 2016, the chain began experiencing severe cash flow problems, struggling to pay staff, suppliers, and landlords.
Attempts to stabilize the business through administration could not prevent the eventual collapse. In December 2019, the remaining six outlets were sold to Naivas Supermarket, marking the end of the Nakumatt brand.
Industry analysts say the auction highlights the lingering financial repercussions of Nakumatt’s rapid expansion and collapse.
“The debt and asset liquidation highlight the risks that come with aggressive growth without sustainable cash flow,” according to a retail analyst, requesting anonymity.
With the clock ticking, the next 90 days will determine whether Nakumatt Investments can salvage any part of its former empire or whether its properties will be sold off to satisfy creditors.