Naivas in family feud over stake sale

Naivas Supermarkets is locked in a fresh family feud over ownership of the giant retailer and proceeds from the sale of a minority stake to a consortium of investors for Sh6 billion.

The Court of Appeal allowed an application by Mr Kagira Mukuha to stop his siblings from selling additional shares until his appeal is heard and determined.

“The status quo in so far as the shares in dispute are concerned be maintained pending hearing and determination of the said appeal,” Judges Hannah Okwengu, Asike Handa, and Daniel Musinga said in an order dated November 25.

Naivas Supermarket directors are David Kimani who owns 25 percent stake, the late Simon Gashwe who served as the company chairman (25 percent stake), Linet Wairimu (15 percent stake), Grace Wambui (15 percent stake) and their late father Peter Mukuha Kago who owned 20 percent of shares.

Mr Kagira argues in court that the true ownership structure of Naivas Supermarket should read 30 percent shares stake by their late father, his sister Wambui (25 percent), Wairimu (15 percent), Kimani (10 percent) and 20 percent shareholding for himself.