Uchumi Supermarket prices Rights Issue at Sh9 per share

Uchumi Supermarkets CEO, Jonathan Ciano addressing press in Nairobi

Uchumi Supermarket has priced its planned Rights Issue at Sh9 per share with hopes of raising Sh895.8 million in additional capital from the existing shareholders.

This comes as industry insiders revealed that the firm’s total borrowing from commercial banks has risen to Sh1.5 billion. Yesterday, Uchumi said in a statement that the Government had committed itself to take up its rights and the firm’s management is hopeful that the offer price which represents a discount of 12.8 per cent from the previous day’s (Monday) closing price of Sh10.15 would tempt other shareholders to follow suit.