Uchumi
Encyclopedia
Uchumi Supermarkets, often referred to simply as Uchumi, is a Kenya
n supermarket chain. The name Uchumi means "economy" in Swahili
.
, with retail outlets in East Africa
. , the chain is one of a number of Kenyan supermarket chains that serve the region, including market-leader Nakumatt
, Tuskys, Ukwala and Naivas. Currently, Uchumi maintains outlets in Kenya and Uganda
, with a view to establish a presence in Tanzania
, and Southern Sudan in the next few years. The latest valuation, in June 2010, estimated the total company assets at about US$39.4 million (KES:3.15 billion), with shareholder equity of approximately US$19.2 million (KES:1.53 billion).
, an Italian
supermarket chain to train Kenya
n talent to run the new enterprise. The shares of the company stock
were listed on the Nairobi Stock Exchange
(NSE) in 1992.
During the early 2000's the company encountered financial difficulties and was placed in receivership in June 2006. It was simultaneously de-listed from the NSE. Following a period of inactivity that lasted six (6) weeks, the company resumed commercial activity at some of its stores under interim management and a caretaker administrator.
, the retail chain has returned to profitability and has applied to the Kenya Capital Markets Authority to re-list its shares on the NSE. Approval to re-list on the NSE was granted in May 2011 and trading in the shares of Uchumi Supermarkets resumed on Tuesday 31 May 2011.
of the retail chain are privately owned. The Government of Kenya is the largest shareholder with a 13.4% direct stake in the company. The government also controls another 6.97% indirect shareholding through the government-owned ICDC and Kenya Wines Agency Limited. The shareholding in the company stock is depicted in the table below:
{| style="font-size:100%;"
|-
| width="100%" align="center" | Uchumi Supermarkets Stock Ownership
|- valign="top"
|
{| class="wikitable sortable" style="margin-left:auto;margin-right:auto"
! style="width:2em;" |Rank !!Name of Owner!!Percentage Ownership
|-
|1||Government of Kenya||13.40
|-
|2||ICDC & Kenya Wines Agency Limited||06.97
|-
|2||Others||79.63
|-
| ||Total||100.00
|-
|}
:
Branches in Kenya
Branches in Uganda
Branches in Tanzania
Branches in Southern Sudan
At the time, its closure was described as "one of the greatest corporate disasters in independent Kenya history". However, a government-led rescue plan was initiated and consequently five Uchumi outlets, all in Nairobi
, were reopened on July 15, 2006.
, five (5) stores in Uganda
and one store in Dar es Salaam
, Tanzania
. The company also plans two openings in Juba
, South Sudan
in the next two years. Uchumi expects to open seven (07) new stores in Kenya as well, within the next one year. The company stock is traded on thhe Nairobi Stock Exchange
and the company stock shares are owned by over 12,000 shareholders. In 2010, the company recorded a profit of KES:515 million (approx. US$5.74 million).
Kenya
Kenya , officially known as the Republic of Kenya, is a country in East Africa that lies on the equator, with the Indian Ocean to its south-east...
n supermarket chain. The name Uchumi means "economy" in Swahili
Swahili language
Swahili or Kiswahili is a Bantu language spoken by various ethnic groups that inhabit several large stretches of the Mozambique Channel coastline from northern Kenya to northern Mozambique, including the Comoro Islands. It is also spoken by ethnic minority groups in Somalia...
.
Overview
Uchumi is a supermarket chain headquartered in KenyaKenya
Kenya , officially known as the Republic of Kenya, is a country in East Africa that lies on the equator, with the Indian Ocean to its south-east...
, with retail outlets in East Africa
East Africa
East Africa or Eastern Africa is the easterly region of the African continent, variably defined by geography or geopolitics. In the UN scheme of geographic regions, 19 territories constitute Eastern Africa:...
. , the chain is one of a number of Kenyan supermarket chains that serve the region, including market-leader Nakumatt
Nakumatt
Nakumatt is a Kenyan supermarket chain. Nakumatt is an abbreviation for Nakuru Mattresses.-Overview:, it has twenty-seven stores across Kenya and employs over 4,000 people...
, Tuskys, Ukwala and Naivas. Currently, Uchumi maintains outlets in Kenya and Uganda
Uganda
Uganda , officially the Republic of Uganda, is a landlocked country in East Africa. Uganda is also known as the "Pearl of Africa". It is bordered on the east by Kenya, on the north by South Sudan, on the west by the Democratic Republic of the Congo, on the southwest by Rwanda, and on the south by...
, with a view to establish a presence in Tanzania
Tanzania
The United Republic of Tanzania is a country in East Africa bordered by Kenya and Uganda to the north, Rwanda, Burundi, and the Democratic Republic of the Congo to the west, and Zambia, Malawi, and Mozambique to the south. The country's eastern borders lie on the Indian Ocean.Tanzania is a state...
, and Southern Sudan in the next few years. The latest valuation, in June 2010, estimated the total company assets at about US$39.4 million (KES:3.15 billion), with shareholder equity of approximately US$19.2 million (KES:1.53 billion).
History
The company was founded in 1975, as a public limited liability company, by three Kenyan parastatal companies, namely (a) Industrial Commercial & Development Corporation (ICDC) (b) Kenya Wine Agencies Limited (KWAL) and (c) Kenya National Trading Corporation (KNTC). The main objective at the time was to create outlets for the equitable distribution of commodities and to create retail outlets for Kenyan manufactures. In 1976, Uchumi's shareholders signed a management contract with Standa SPAStanda
-History:It was founded in 1931 as Magazzini Standard by a former executive of UPIM and subsequently renamed as Standa . When it was bought by Montedison in 1966 it had 126 branches all over Italy...
, an Italian
Italy
Italy , officially the Italian Republic languages]] under the European Charter for Regional or Minority Languages. In each of these, Italy's official name is as follows:;;;;;;;;), is a unitary parliamentary republic in South-Central Europe. To the north it borders France, Switzerland, Austria and...
supermarket chain to train Kenya
Kenya
Kenya , officially known as the Republic of Kenya, is a country in East Africa that lies on the equator, with the Indian Ocean to its south-east...
n talent to run the new enterprise. The shares of the company stock
Stock
The capital stock of a business entity represents the original capital paid into or invested in the business by its founders. It serves as a security for the creditors of a business since it cannot be withdrawn to the detriment of the creditors...
were listed on the Nairobi Stock Exchange
Nairobi Stock Exchange
The Nairobi Securities Exchange is the principal stock exchange of Kenya. It began in 1954 as an overseas stock exchange while Kenya was still a British colony with permission of the London Stock Exchange. The NSE is a member of the African Stock Exchanges Association...
(NSE) in 1992.
During the early 2000's the company encountered financial difficulties and was placed in receivership in June 2006. It was simultaneously de-listed from the NSE. Following a period of inactivity that lasted six (6) weeks, the company resumed commercial activity at some of its stores under interim management and a caretaker administrator.
, the retail chain has returned to profitability and has applied to the Kenya Capital Markets Authority to re-list its shares on the NSE. Approval to re-list on the NSE was granted in May 2011 and trading in the shares of Uchumi Supermarkets resumed on Tuesday 31 May 2011.
Ownership
, the shares of stockStock
The capital stock of a business entity represents the original capital paid into or invested in the business by its founders. It serves as a security for the creditors of a business since it cannot be withdrawn to the detriment of the creditors...
of the retail chain are privately owned. The Government of Kenya is the largest shareholder with a 13.4% direct stake in the company. The government also controls another 6.97% indirect shareholding through the government-owned ICDC and Kenya Wines Agency Limited. The shareholding in the company stock is depicted in the table below:
{| style="font-size:100%;"
|-
| width="100%" align="center" | Uchumi Supermarkets Stock Ownership
|- valign="top"
|
{| class="wikitable sortable" style="margin-left:auto;margin-right:auto"
! style="width:2em;" |Rank !!Name of Owner!!Percentage Ownership
|-
|1||Government of Kenya||13.40
|-
|2||ICDC & Kenya Wines Agency Limited||06.97
|-
|2||Others||79.63
|-
| ||Total||100.00
|-
|}
Branches
The supermarket chain maintains the following outlets in East AfricaEast Africa
East Africa or Eastern Africa is the easterly region of the African continent, variably defined by geography or geopolitics. In the UN scheme of geographic regions, 19 territories constitute Eastern Africa:...
:
Branches in Kenya
Kenya
Kenya , officially known as the Republic of Kenya, is a country in East Africa that lies on the equator, with the Indian Ocean to its south-east...
- Sarit Branch - Sarit Center, WestlandsWestlandsWestlands is a neighborhood in the city of Nairobi, the capital and largest city in Kenya.-Location:Westlands is located , by road, northwest of the central business district of Nairobi...
, NairobiNairobiNairobi is the capital and largest city of Kenya. The city and its surrounding area also forms the Nairobi County. The name "Nairobi" comes from the Maasai phrase Enkare Nyirobi, which translates to "the place of cool waters". However, it is popularly known as the "Green City in the Sun" and is... - Westlands Branch - Westlands, NairobiNairobiNairobi is the capital and largest city of Kenya. The city and its surrounding area also forms the Nairobi County. The name "Nairobi" comes from the Maasai phrase Enkare Nyirobi, which translates to "the place of cool waters". However, it is popularly known as the "Green City in the Sun" and is...
- Koinange Branch - Monrovia Street, NairobiNairobiNairobi is the capital and largest city of Kenya. The city and its surrounding area also forms the Nairobi County. The name "Nairobi" comes from the Maasai phrase Enkare Nyirobi, which translates to "the place of cool waters". However, it is popularly known as the "Green City in the Sun" and is...
- City Square Branch - Aga Khan Walk, NairobiNairobiNairobi is the capital and largest city of Kenya. The city and its surrounding area also forms the Nairobi County. The name "Nairobi" comes from the Maasai phrase Enkare Nyirobi, which translates to "the place of cool waters". However, it is popularly known as the "Green City in the Sun" and is...
- Ngong Hypermat - Ngong Road, NairobiNairobiNairobi is the capital and largest city of Kenya. The city and its surrounding area also forms the Nairobi County. The name "Nairobi" comes from the Maasai phrase Enkare Nyirobi, which translates to "the place of cool waters". However, it is popularly known as the "Green City in the Sun" and is...
- Ngong Road Branch - Adams Arcade, NairobiNairobiNairobi is the capital and largest city of Kenya. The city and its surrounding area also forms the Nairobi County. The name "Nairobi" comes from the Maasai phrase Enkare Nyirobi, which translates to "the place of cool waters". However, it is popularly known as the "Green City in the Sun" and is...
- Langata Hypermat - Langata Road, NairobiNairobiNairobi is the capital and largest city of Kenya. The city and its surrounding area also forms the Nairobi County. The name "Nairobi" comes from the Maasai phrase Enkare Nyirobi, which translates to "the place of cool waters". However, it is popularly known as the "Green City in the Sun" and is...
- Nairobi West Branch - Nairobi West Shopping Center, NairobiNairobiNairobi is the capital and largest city of Kenya. The city and its surrounding area also forms the Nairobi County. The name "Nairobi" comes from the Maasai phrase Enkare Nyirobi, which translates to "the place of cool waters". However, it is popularly known as the "Green City in the Sun" and is...
- Mombasa Road Branch - Mombasa Road, NairobiNairobiNairobi is the capital and largest city of Kenya. The city and its surrounding area also forms the Nairobi County. The name "Nairobi" comes from the Maasai phrase Enkare Nyirobi, which translates to "the place of cool waters". However, it is popularly known as the "Green City in the Sun" and is...
- Jogoo Road Branch - Jogoo Road, NairobiNairobiNairobi is the capital and largest city of Kenya. The city and its surrounding area also forms the Nairobi County. The name "Nairobi" comes from the Maasai phrase Enkare Nyirobi, which translates to "the place of cool waters". However, it is popularly known as the "Green City in the Sun" and is...
- Buruburu Branch - Buru Buru Housing Estate, NairobiNairobiNairobi is the capital and largest city of Kenya. The city and its surrounding area also forms the Nairobi County. The name "Nairobi" comes from the Maasai phrase Enkare Nyirobi, which translates to "the place of cool waters". However, it is popularly known as the "Green City in the Sun" and is...
- Katarina Branch - Katarina, NyeriNyeriNyeri is a town in situated in the Central Highlands of Kenya Kenya, which was the administrative headquarters of the country's former Central Province...
- Meru Branch - Downtown Shopping District, MeruMeru, Kenya-Transport:The City of Meru is linked to Nairobi by a paved road, whether from the south around the east side of Mount Kenya, via Embu, or from the northwest around the west and north side of Mount Kenya, via Nanyuki and Timau....
- Eldoret Branch - Downtown, EldoretEldoretEldoret is a town in western Kenya and the administrative centre of Uasin Gishu District of Rift Valley Province. Lying south of the Cherangani Hills, the local elevation varies from about 2100 metres above sea level at the airport to more than 2700 metres in nearby areas...
- Jipange Branch - Thika Road, NairobiNairobiNairobi is the capital and largest city of Kenya. The city and its surrounding area also forms the Nairobi County. The name "Nairobi" comes from the Maasai phrase Enkare Nyirobi, which translates to "the place of cool waters". However, it is popularly known as the "Green City in the Sun" and is...
- Nakuru Branch - Downtown, NakuruNakuruNakuru, the provincial capital of Kenya's Rift Valley province, with roughly 300,000 inhabitants, and currently the fourth largest urban centre in the country, lies about 1850 m above sea level...
- Embakasi Branch - EmbakasiEmbakasiEmbakasi is a division of Nairobi, the capital of Kenya. It is located east of the central business district. As a residential estate it houses mostly lower middle income citizens....
, NairobiNairobiNairobi is the capital and largest city of Kenya. The city and its surrounding area also forms the Nairobi County. The name "Nairobi" comes from the Maasai phrase Enkare Nyirobi, which translates to "the place of cool waters". However, it is popularly known as the "Green City in the Sun" and is... - Outer Ring Road Branch - Outer Ring Road, NairobiNairobiNairobi is the capital and largest city of Kenya. The city and its surrounding area also forms the Nairobi County. The name "Nairobi" comes from the Maasai phrase Enkare Nyirobi, which translates to "the place of cool waters". However, it is popularly known as the "Green City in the Sun" and is...
- Kisumu Branch - KisumuKisumuKisumu is a port city in western Kenya at , with a population of 355,024 . It is the third largest city in Kenya, the principal city of western Kenya, the immediate former capital of Nyanza Province and the headquarters of Kisumu County. It has a municipal charter but no city charter...
- Ongata Rongai Branch - Ongata RongaiOngata RongaiOngata Rongai, also locally known as Rongai or simply Rongaa, is a settlement in Kenya's Rift Valley Province located between the Kaputiei plains and the Western slopes of the Ngong hills all within Kajiado District...
, NairobiNairobiNairobi is the capital and largest city of Kenya. The city and its surrounding area also forms the Nairobi County. The name "Nairobi" comes from the Maasai phrase Enkare Nyirobi, which translates to "the place of cool waters". However, it is popularly known as the "Green City in the Sun" and is... - Kisii Branch - KisiiKisiiKisii may refer to:* Kisii, Kenya, a town in Nyanza region of southwestern Kenya* Kisii District, a district in Kenya, also known as Kisii Central District* Gucha District, in Kenya, also known as South Kisii District...
Branches in Uganda
Uganda
Uganda , officially the Republic of Uganda, is a landlocked country in East Africa. Uganda is also known as the "Pearl of Africa". It is bordered on the east by Kenya, on the north by South Sudan, on the west by the Democratic Republic of the Congo, on the southwest by Rwanda, and on the south by...
- Main Kampala Branch - Oasis Mall, Yusuf Lule Road, KololoKololo-Location:Kololo is close to the centre of Kampala, bordered by Naguru to the east, Bukoto to the north, Mulago to the northwest, Makerere to the west, Nakasero to the southwest and Kibuli to the south.-Overview:...
, KampalaKampalaKampala is the largest city and capital of Uganda. The city is divided into five boroughs that oversee local planning: Kampala Central Division, Kawempe Division, Makindye Division, Nakawa Division and Lubaga Division. The city is coterminous with Kampala District.-History: of Buganda, had chosen... - Kabalagala Branch - Ggaba Road, KabalagalaKabalagalaKabalagala is a neighborhood in the city of Kampala, the capital city of Uganda. The name Kabalagala comes from a local type of pancake made from cassava flour and sweet bananas and is spiced with local peppers. Hawkers of this food variety would pull up to motorists as they were waiting to turn...
, KampalaKampalaKampala is the largest city and capital of Uganda. The city is divided into five boroughs that oversee local planning: Kampala Central Division, Kawempe Division, Makindye Division, Nakawa Division and Lubaga Division. The city is coterminous with Kampala District.-History: of Buganda, had chosen... - Gulu Branch - GuluGuluGulu is a city in Northern Uganda. It is the commercial and administrative centre of Gulu District. The city is located at 2˚46'48N 32˚18'00E, on the metre gauge railway from Tororo to Pakwach. Gulu is located approximately , by road, north of Kampala, Uganda's capital and largest city...
- Najjanankumbi Branch - NajjanankumbiNajjanankumbi-Location:Najjanankumbi is located on the southern edge of the city of Kampala. It is bordered by Kibuye to the north, Lukuli to the east, Makindye to the southeast, Lubowa to the south, Kabowa to the west and Ndeeba to the northwest. The coordinates of Najjanankumbi are:00 16 30N, 32 34 12E...
, KampalaKampalaKampala is the largest city and capital of Uganda. The city is divided into five boroughs that oversee local planning: Kampala Central Division, Kawempe Division, Makindye Division, Nakawa Division and Lubaga Division. The city is coterminous with Kampala District.-History: of Buganda, had chosen... - Quality Mall Branch - Quality Mall, KampalaKampalaKampala is the largest city and capital of Uganda. The city is divided into five boroughs that oversee local planning: Kampala Central Division, Kawempe Division, Makindye Division, Nakawa Division and Lubaga Division. The city is coterminous with Kampala District.-History: of Buganda, had chosen...
(Expected in 2012)
Branches in Tanzania
Tanzania
The United Republic of Tanzania is a country in East Africa bordered by Kenya and Uganda to the north, Rwanda, Burundi, and the Democratic Republic of the Congo to the west, and Zambia, Malawi, and Mozambique to the south. The country's eastern borders lie on the Indian Ocean.Tanzania is a state...
- Dar-es-Salaam Branch - Dar es SalaamDar es SalaamDar es Salaam , formerly Mzizima, is the largest city in Tanzania. It is also the country's richest city and a regionally important economic centre. Dar es Salaam is actually an administrative province within Tanzania, and consists of three local government areas or administrative districts: ...
Branches in Southern Sudan
- First Juba Branch - JubaJuba, SudanJuba is the capital and largest city of the Republic of South Sudan. It also serves as the capital of Central Equatoria, the smallest of the ten states of South Sudan. The city is situated on the White Nile and functions as the seat and metropolis of Juba County.- Population :In 2005, Juba's...
(Expected in 2012) - Second Juba Branch - Juba (Expected in 2013)
Closure and reopening
Uchumi closed down, albeit temporarily, in June 2006 after 30 years of business.At the time, its closure was described as "one of the greatest corporate disasters in independent Kenya history". However, a government-led rescue plan was initiated and consequently five Uchumi outlets, all in Nairobi
Nairobi
Nairobi is the capital and largest city of Kenya. The city and its surrounding area also forms the Nairobi County. The name "Nairobi" comes from the Maasai phrase Enkare Nyirobi, which translates to "the place of cool waters". However, it is popularly known as the "Green City in the Sun" and is...
, were reopened on July 15, 2006.
Currently
As of November 2011, Uchumi operates twenty-one (21) stores in KenyaKenya
Kenya , officially known as the Republic of Kenya, is a country in East Africa that lies on the equator, with the Indian Ocean to its south-east...
, five (5) stores in Uganda
Uganda
Uganda , officially the Republic of Uganda, is a landlocked country in East Africa. Uganda is also known as the "Pearl of Africa". It is bordered on the east by Kenya, on the north by South Sudan, on the west by the Democratic Republic of the Congo, on the southwest by Rwanda, and on the south by...
and one store in Dar es Salaam
Dar es Salaam
Dar es Salaam , formerly Mzizima, is the largest city in Tanzania. It is also the country's richest city and a regionally important economic centre. Dar es Salaam is actually an administrative province within Tanzania, and consists of three local government areas or administrative districts: ...
, Tanzania
Tanzania
The United Republic of Tanzania is a country in East Africa bordered by Kenya and Uganda to the north, Rwanda, Burundi, and the Democratic Republic of the Congo to the west, and Zambia, Malawi, and Mozambique to the south. The country's eastern borders lie on the Indian Ocean.Tanzania is a state...
. The company also plans two openings in Juba
Juba, Sudan
Juba is the capital and largest city of the Republic of South Sudan. It also serves as the capital of Central Equatoria, the smallest of the ten states of South Sudan. The city is situated on the White Nile and functions as the seat and metropolis of Juba County.- Population :In 2005, Juba's...
, South Sudan
South Sudan
South Sudan , officially the Republic of South Sudan, is a landlocked country located in the Sahel region of northeastern Africa. It is also part of the North Africa UN sub-region. Its current capital is Juba, which is also its largest city; the capital city is planned to be moved to the more...
in the next two years. Uchumi expects to open seven (07) new stores in Kenya as well, within the next one year. The company stock is traded on thhe Nairobi Stock Exchange
Nairobi Stock Exchange
The Nairobi Securities Exchange is the principal stock exchange of Kenya. It began in 1954 as an overseas stock exchange while Kenya was still a British colony with permission of the London Stock Exchange. The NSE is a member of the African Stock Exchanges Association...
and the company stock shares are owned by over 12,000 shareholders. In 2010, the company recorded a profit of KES:515 million (approx. US$5.74 million).
See also
- NakumattNakumattNakumatt is a Kenyan supermarket chain. Nakumatt is an abbreviation for Nakuru Mattresses.-Overview:, it has twenty-seven stores across Kenya and employs over 4,000 people...
, Uchumi's competitor within East AfricaEast AfricaEast Africa or Eastern Africa is the easterly region of the African continent, variably defined by geography or geopolitics. In the UN scheme of geographic regions, 19 territories constitute Eastern Africa:... - NairobiNairobiNairobi is the capital and largest city of Kenya. The city and its surrounding area also forms the Nairobi County. The name "Nairobi" comes from the Maasai phrase Enkare Nyirobi, which translates to "the place of cool waters". However, it is popularly known as the "Green City in the Sun" and is...
- Economy of KenyaEconomy of KenyaKenya's economy is market-based, with a few state-owned infrastructure enterprises, and maintains a liberalized external trade system. The country is generally perceived as Eastern and central Africa's hub for Financial, Communication and Transportation services...
- East African CommunityEast African CommunityThe East African Community is an intergovernmental organisation comprising the five east African countries Burundi, Kenya, Rwanda, Tanzania, and Uganda. Pierre Nkurunziza, the President of the Republic of Burundi, is the current Chairman of the East African Community. The EAC was originally...