Uchumi targets East Africa expansionKenya's Uchumi Supermarkets will open 13 new stores over the next year, Chief Executive Jonathan Ciano has said.
The firm plans to sell 100 million shares to existing shareholders through a rights issue and cross list its shares on the Uganda Securities Exchange, the Dar es Salaam Stock Exchange and the Rwanda over-the-counter market.
The funds will be used to fuel expansion and refurbish some of its stores in Kenya.
"In the next one year or so, we plan to open around 13 retail branches across East Africa in a bid to competitively and strategically position our business, and these will also require substantial capital spend," Mr Ciano said.
Uchumi is east Africa's sole listed retailer and Kenya's second-largest retail chain by sales.
It has 25 stores in Kenya, Uganda and Tanzania.
Mr Ciano said transaction advisors had already been appointed to spearhead its proposed cross listing and rights issue.
Uchumi has picked and approved Faida Investment Bank as the Lead transaction advisor and sponsoring stock broker.
Image: © Uchumi
Copyright is owned by Africa Outlook and/or Outlook Publishing. All rights reserved.