Uchumi Supermarkets has shut down four of its stores in Kenya and Uganda as part of a turnaround plan by its new chief executive that involves closing non-performing outlets.
Last month, CEO Julius Kipng’etich said Uchumi would reorganise the management of underperforming branches or could close or relocate the worst performers to try to return to profit growth next year.
Kipng’etich said on Wednesday that the closures of two stores in Kampala leave only three of its outlets remaining in Uganda.
“We have closed down Kabalagala and Natete branches in Uganda as part of the ongoing rationalisation of the business in order to stop financial bleeding and get Uchumi Supermarkets back on its feet,” Kipng’etich said in a statement.
“In Kenya, this exercise has resulted in the closure of Maua and Syokimau branches and will continue until we get the business back on the path to growth and profitability.”
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