Ex-Nakumatt employees to open supermarket in Kisumu

Employees of Nakumatt Supermarket in Eldoret ponder next move after workers found doors of the retail chain without notice.

KISUMU, KENYA: A number of employees working for the troubled Nakumatt Supermarkets chains could have a reprieve after seven of their colleagues opened a supermarket in Kisumu.

The new supermarket , Lengio Holdings  which opens  its  doors  at Kondele  in two weeks’ time is  expected  to draw its  work force  from the ex- Nakumatt staff who had been rendered jobless  after the former giant closed many of  its  branches including its  24  hour outlet in Kisumu.

The seven former Nakumatt staff who include the supermarket’s former Dares Salaam branch manager Benson Olang’, and other regional managers from Nairobi and Western Kenya regions say they pooled their terminal dues and decided to set up a store.

Mr Olang says when he saw the storm coming; he mooted the idea to his colleagues who welcomed it fondly.

“We felt we had gathered enough hands on experience managing such a large retailer and we were ready to exploit any niche that arose because we understood the business. So when we were ready, we felt it was time to resign and set up our own store,” says Olang’.

Olang’ says the partners had been mulling starting a supermarket for seven years but the financial difficulties of Nakumatt finally pushed them to step out.

The outlet, which is undergoing final preparations for the anticipated launch will directly employ 20 former stewards and cashiers who lost their jobs after the Mega Plaza (popularly known as Nyanza) branch closed doors.

Mr Olang says the plan to progressively expand the business to widen footprint into the region, perhaps following in Nakumatt’s expansion blueprint.  

“A Lemigo dream has been in our hearts for some time and the expansion route has exhaustively been discussed,” he says.

The enterprise, he says seeks also to support local enterprises through provision of priority to local supplies.

“We want to encourage small businesses to bring their products so that we can provide a market for them.”

“We have already identified and recruited several local suppliers of eggs, milk and milk products, groceries, peanut butter, and many local products,” he says.

The new supermarket is located in a densely populated area of Kondele along Kisumu-Kibos road, a few metres from Tumaini supermarket which has enjoyed relative monopoly that extends into Manyata, Car Wash and Migosi estates.

Nakumatt has closed nearly 20 branches as creditors and suppliers moved in to recover their monies while some branches have been sacrificed to give more strategic branches a chance to come back.

The once vibrant retailer has been fighting court battles fronted by its creditors to liquidate the business.