“Creditors of the company
Administrators
ARM
ARM Cement
Atul Shah
Bank of Uganda
creditors
DCON
Disqus
East Africa
JavaScript
Nairobi Securities Exchange
NIC
NIC Bank
Peter Kahi
PKF Consulting
Sh225 million
Sh430.67 million
United Bank of Africa
US

Fashion retailer Deacons’ creditors have two weeks to submit claims

Deacons East Africa said in a Friday notice that the joint administrators want to engage all key stakeholders of the company in the resuscitation attempt. As at end of December 2017, Deacons had Sh637.98 million debt. It was owing United Bank of Africa Sh50.14 million in overdraft and a loan of Sh48.24 million. NIC Bank had also given it Sh94.28 million overdraft and Sh430.67 million loan while Bank of Uganda had loaned it Sh14.65 million.

Fashion retailer Deacons’ creditors have two weeks to submit claims

Creditors of the under-administration Deacons East Africa #ticker:DCON have up to two weeks to furnish administrators with details of what the company owes them. The company said in a Friday notice that the joint administrators— Peter Kahi and Atul Shah of PKF Consulting— want to engage all key stakeholders of the company in the resuscitation attempt. “The Administrators will engage with all key stakeholders of the company to elicit their co-operation as the administrators seek to achieve the best possible outcome under the current circumstances,” the gazette notice read.

“Creditors of the company are required to send full particulars of any claims they may have against the company to the undersigned on or before 21st December, 2018.” The notice affirms that all operational matters have been taken from company directors and put in the hands of the two administrators. As at end of December 2017, Deacons had Sh637.98 million debt.It was owing United Bank of Africa Sh50.14 million in overdraft and a loan of Sh48.24 million. NIC Bank #ticker:NIC had also given it Sh94.28 million overdraft and Sh430.67 million loan while Bank of Uganda had loaned it Sh14.65 million.Deacons also had exposure to banks who had issued stand-by letters of credit in favour of key suppliers aggregating in total to Sh225 million. This was in South African rand and US dollars.It became the second listed firm after ARM Cement #ticker:ARM to invoke Insolvency Act No.8 of 2015 that gives companies going through financial distress to appoint administrators in order to explore other possibilities of rescuing troubled firms.The firm listed 123,558,228 shares at Nairobi Securities Exchange at a price of Sh15 a share on August 2, 2016. At that price, the firm was valued at Sh1.85 billion. It was however suspended after falling into administration status.

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