The Nairobi Securities Exchange has suspended the trading of shares of Fashion retailer Deacons East Africa for 40 days.
This will allow Peter Kahi and Atul Shah of PKF Consulting, the joint administrators appointed to the Deacons Board to run its business according to the Insolvency Act.
“The primary objective of placing the company under administration is to enable it achieve a better outcome for the creditors than would likely to be the case if the company were to be liquidated,” Deacons CEO Muchiri Wahome said in a statement.
Read: Fashion Retailer Deacons, Poised to Enter Administration
Deacon’s cash constraints have resulted in a decline in stock levels across most stores, causing reduced margins.
NSE suspends Deacons shares for 40 days
By Khusoko
Khusoko
Khusoko provides market insights into Africa's business investment as well as global trends that impact East African businesses.