| Type | Public: NSE |
|---|---|
| Industry | Retail trade |
| Founded | 1975 |
| Headquarters | Nairobi, Kenya |
| Key people | Jonathan Ciano Chief Executive Officer |
| Products | Supermarkets |
| Revenue | Gross Sales:US$120 million (2010) |
| Net income | Pretax: US$5.74 million (2010) |
| Total assets | US$39.4 million (2010) |
| Employees | 1,000+ (2008) |
| Website | Homepage |
Uchumi Supermarkets, often referred to simply as Uchumi, is a Kenyan supermarket chain. The name Uchumi means "economy" in Swahili.
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Uchumi is a supermarket chain headquartered in Kenya, with retail outlets in East Africa. As of January 2011[update], the chain is one of a number of Kenyan supermarket chains that serve the region, including market-leader Nakumatt, Tuskys, Ukwala and Naivas. Currently, Uchumi maintains outlets in Kenya and Uganda, with a view to establish a presence in Tanzania, and Southern Sudan in the next few years.[1] The latest valuation, in June 2010, estimated the total company assets at about US$39.4 million (KES:3.15 billion), with shareholder equity of approximately US$19.2 million (KES:1.53 billion).[2]
The company was founded in 1975, as a public limited liability company, by three Kenyan parastatal companies, namely (a) Industrial Commercial & Development Corporation (ICDC) (b) Kenya Wine Agencies Limited (KWAL) and (c) Kenya National Trading Corporation (KNTC). The main objective at the time was to create outlets for the equitable distribution of commodities and to create retail outlets for Kenyan manufactures. In 1976, Uchumi's shareholders signed a management contract with Standa SPA, an Italian supermarket chain to train Kenyan talent to run the new enterprise. The shares of the company stock were listed on the Nairobi Stock Exchange (NSE) in 1992.
During the early 2000's the company encountered financial difficulties and was placed in receivership in June 2006. It was simultaneously de-listed from the NSE. Following a period of inactivity that lasted six (6) weeks, the company resumed commercial activity at some of its stores under interim management and a caretaker administrator.[3]
As of January 2011[update], the retail chain has returned to profitability and has applied to the Kenya Capital Markets Authority to re-list its shares on the NSE.[4] Approval to re-list on the NSE was granted in May 2011 and trading in the shares of Uchumi Supermarkets resumed on Tuesday 31 May 2011.[5]
As of June 2011[update], the shares of stock of the retail chain are privately owned. The Government of Kenya is the largest shareholder with a 13.4% direct stake in the company. The government also controls another 6.97% indirect shareholding through the government-owned ICDC and Kenya Wines Agency Limited. The shareholding in the company stock is depicted in the table below:[6]
| Uchumi Supermarkets Stock Ownership | |||||||||||||||
BranchesThe supermarket chain maintains the following outlets in East Africa:[7]
Closure and reopeningUchumi closed down, albeit temporarily, in June 2006 after 30 years of business. [15] At the time, its closure was described as "one of the greatest corporate disasters in independent Kenya history". However, a government-led rescue plan was initiated and consequently five Uchumi outlets, all in Nairobi, were reopened on July 15, 2006. CurrentlyAs of November 2011, Uchumi operates twenty-one (21) stores in Kenya, five (5) stores in Uganda and one store in Dar es Salaam, Tanzania. The company also plans two openings in Juba, South Sudan in the next two years. Uchumi expects to open seven (07) new stores in Kenya as well, within the next one year.[16] The company stock is traded on the Nairobi Stock Exchange and the company stock shares are owned by over 12,000 shareholders. In 2010, the company recorded a profit of KES:515 million (approx. US$5.74 million).[17] See also
External links
References
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