Companies

Tumaini to open two more stores in Nairobi

hoel

A shopper at a Tumaini branch. FILE PHOTO | NMG

bonface_img

Summary

  • Emerging supermarket chain Tumaini Self Service Limited is set to open two outlets in Nairobi this Friday, bucking the trend in the country’s retail sector that has seen major players go through a rough financial patch.
  • The retailer plans to open a new store along the Eastern bypass (Kamaki’s) and one more in Kahawa West on the boundary of Nairobi and Kiambu counties.
  • The new outlets bring to eight the number of Tumaini branches in Nairobi and 12 countrywide.

Emerging supermarket chain Tumaini Self Service Limited is set to open two outlets in Nairobi this Friday, bucking the trend in the country’s retail sector that has seen major players go through a rough financial patch.

The retailer plans to open a new store along the Eastern bypass (Kamaki’s) and one more in Kahawa West on the boundary of Nairobi and Kiambu counties.

The new outlets bring to eight the number of Tumaini branches in Nairobi and 12 countrywide.

“Our aim is to be in all the major arteries of Nairobi. We are spending around Sh200 million to set up the two stores,” said a company source yesterday.

The Eastern Bypass store will occupy 25,000 square feet and employ about 120 people. It will stock packed foods, fresh vegetables, electronics and fast-moving goods such beverages as well as furniture.

The Kahawa West branch, also set to be opened Friday, will occupy 15,000 square feet and is set to employ about 100 locals.

Tumaini’s expansion plan comes just a few months after the company sold a majority stake to Sokoni Retail Kenya, a special purchase vehicle owned by Mauritius-based private equity (PE) firm Adenia Partners.

The move marked the latest acquisition in Kenya’s retail sector, in addition to the buyout of Ukwala Supermarkets by Choppies of Botswana in 2015.

Tumaini said its new controlling shareholder has provided new capital that will be used to expand the business.

The expansion bid by Tumaini also comes as a positive development in a sector that has in recent times seen local firms in the spotlight for the wrong reasons.

Nakumatt, once the region’s biggest retailer, has been the worst-hit followed by Uchumi Supermarkets.

They have been thrown out of several of their prime spaces across the country over non-payment of rent.