Wilfred Murungi has issued a notice of the sale of 5.88 acres in Maringo, Nairobi, — which in 2014 was the subject of legal dispute with Nema over a breach of building laws outside court.
Mastermind Tobacco owner Wilfred Murungi has put a prime piece of land that led to an arrest warrant issued against him up for sale in a property disposal that could net him close to Sh1 billion.
The tycoon Tuesday issued a notice of the sale of 5.88 acres in Maringo, Nairobi, — which in 2014 was the subject of legal dispute with the environment watchdog over a breach of building laws outside court.
The property is opposite Huruma Girls, near the Makadara Law Courts. The row over the plot had Nairobi County Senator Mike Sonko arrested while protesting the eviction of squatters.
Land dealers reckon that Mr Murungi could fetch about Sh400 million for the property.
He is also selling a prime 10-acre piece of land on Mombasa Road near Syokimau railway station in what could earn the businessman another Sh600 million — pushing total sales to over Sh1 billion.
Mr Murungi, 71, worked as top executive at British American Tobacco (BAT) before he quit in 1985 to take on his employer with Mastermind Tobacco, which makes the Supermatch brand of cigarettes.
BAT and Mastermind are locked in a vicious fight for control of raw materials, especially tobacco and the market, which has seen the local firm grab market share from the British multinational, with pricing being its key market driver.
The business has made Mr Murungi one of wealthiest Kenyans and he reckons that his firm employs about 1,000 workers and pays an average of Sh2 billion in taxes annually.
He is also a director and second-largest individual shareholder in ARM Cement with a stake currently worth hundreds of millions of shillings.
His son, Allan Murungi, is the founder and managing director of Ozzbeco — a boutique brewery that manufacturers the high-end Sierra beer.
The Makadara land in Nairobi has been controversial. Mastermind landed in trouble when they started building the boundary wall on the Makadara plot to keep trespassers away and curb encroachment by squatters.
National Environment Management Authority (Nema) accused Mr Murungi and his children of building a boundary wall in Makadara without seeking its approval, prompting a criminal complaint.
A warrant of arrest was issued against Mr Murungi and his children by Kibera Magistrate’s Court for being in breach of judicial orders linked to the criminal complaint.
The Murungis acquired a Nema approval to drill borehole at the Makadara plot, but failed to get one for building the boundary wall.
It took an out-of-court settlement with the environment watchdog to drop the embarrassing legal dispute.
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