This is why the shelves are empty at Nakumatt
Nakumatt Limited has attributed its business challenges to cash flow issues after photos of empty shelves went viral online.
The firm, which has outlets across the East African region, on Thursday put out a statement after photos of one of its items devoid branches in Uganda were shared by a customer.
In a statement signed by the Managing Director, Nakumatt assured stakeholders that business is solid, “despite transient challenges triggered by harsh operating environment.”
This in response to concerns if the supermarket chains was exiting the Ugandan market.
“Like any other business operating in this market, Nakumatt Holdings has faced a number of unforeseen business challenges. These challenges range from a depressed economy, higher operating costs and extraneous factors including enhanced risk management due to prevailing security threats among others,” the statement read.
The company added, “As expected, these factors have impacted on operations on many fronts including cash flow. However, the business remains resilient and continues to grow thanks to the unwavering support of our dedicated staffers, suppliers and customers among other partners.”
The firm further stated that it was in talks with local and international financiers whom it says “have expressed an interest in providing financing facilities on mutually beneficial terms” assuring stakeholders of a resolution.
Here are tweets by shoppers who shared photos online:
— Charles Onyango-Obbo (@cobbo3) October 27, 2016
What cancer’s eating away some of the Nakumatt outlets in Uganda?Lots of empty shelves especially Oasis Branch. This was shot last Saturday pic.twitter.com/ilzNdQTrMa
— Jimmy Kiberu (@KiberuJimmy) October 27, 2016