Tusker Mattresses Ltd, the holding company for Tuskys Supermarket has confirmed that it has signed terms of agreement with a Mauritius based fund for the provision of a financing facility amounting to Ksh2 billion.
In a statement, Tuskys said that the money will be released subject to fulfilling transaction condition precedents.
The funding will help alleviate the current capital constraints that has seen the retailers shelves run empty as creditors threaten to withdraw
“As previously communicated, we wish to reiterate our commitment to resolve the underlying working capital challenges quickly. This funding will provide the needed impetus to our overall capitalization journey,” said Tuskys chairman Bernard Kahianyu.
“The Tuskys Board and Management will engage all stakeholders in the coming days to agree on business modalities going forward.”
The retailer however did not reveal the name of the fund,.
In July, Tuskys shareholders agreed to sell a majority stake of the company and have been awaiting the acquisition of an investment suitor.
Children of Tuskys Joram Kamau among them Yusuf Mugweru, Mary Njoki, Sammy Gatei, Stephen Mukuha, John Kago and George Gashwe have been fighting for the control of their father’s company, something though to have rocked the stability of the retailer.