The Capital Markets Authority (CMA) has launched an expanded investigation into Uchumi Supermarkets, intensifying scrutiny of the troubled retailer after investor and lawyer Francis Njoroge Wanjiku filed a formal complaint over board conduct, disclosures, and regulatory compliance.
In its response to the Commission on Administrative Justice (CAJ), CMA flagged delayed audits, weak governance structures, and stalled progress on Uchumi’s Company Voluntary Arrangement (CVA). The regulator confirmed it is conducting a fresh assessment of the retailer’s board effectiveness, financial reporting history, operational disclosures, CVA commitments, and ongoing litigation, including disputes linked to the Kasarani Mall property.
CMA noted that Uchumi has published audited annual reports from 2018 to 2024 and submitted its 2023/24 governance self-reporting template but stated that the widened review will determine whether the company meets the transparency and reporting obligations expected of a listed firm.
The Authority also highlighted past enforcement actions, including a joint inspection with the Nairobi Securities Exchange in June 2022, following repeated breaches of listing rules. That review exposed gaps in board operations, incomplete governance templates, delayed audits, and poor disclosure practices.
Uchumi later appointed Mugo Waweru & Associates to clear a seven‑year audit backlog, with updates filed through 2024 and 2025.
On CVA progress, Uchumi reported that creditors met in February 2024 and March 2025, filing resolutions in court. The courts directed the company to publish a status update in The Standard, and Uchumi has pledged to convene its Annual General Meeting once its position is clarified.
“The Authority has the cardinal mandate of protection of investor interests under Section 11(1)(d) of the Capital Markets Act. We are currently assessing the company’s governance practices and will issue findings, gaps and recommendations upon completion,” CMA said.
Market Performance
Despite lingering governance concerns and unresolved litigation, Uchumi remains one of the best‑performing stocks on the Nairobi Securities Exchange (NSE) in 2025, second only to Sameer Africa.
- Share Price: UCHM closed at KES 0.79 on Nov 24, 2025, up 6.8% from the previous session. Current price: KES 0.82.
- Year‑to‑Date Gain: Up 365% from KES 0.17 at the start of 2025.
- Recent Rally: 98% gain in the past four weeks—the strongest on the NSE.
- Trading Activity: 25.1M shares traded in 4,887 deals (Aug 25–Nov 24), worth KES 10.4M. Average daily volume: 398,537 shares.
