The Billionaire Rai family is looking to widen its dominance of the sugar industry after they made a bid for a takeover of the Mumias Sugar Company.
According to the sugar directorate, the Rai family holds a market share of 45 percent in the industry. The family runs the West Kenya Sugar Company, Olepito Sugar and Sukari Industries-The entities which run Kabras Sugar, Ndhiwa Sugar among others.
They are among eight investors seeking to close the deal on the embattled Mumias Sugar Company.Mumias Sugar CompanyThe Standard
The list of investors competing for Mumias are; Kisumu-based Kibos Sugar, Catalysis Group, Russia, Kruman Associates of France, Premier JV (India), Third Gate Capital Management and Godavari Enterprises of India.
Mumias Sugar Company was put under receivership by KCB in 2019 after they were unable to maintain its operation.
The government, in an effort to keep the company afloat, pumped Ksh3 Billion.
The Rai Family was going head to head with the Devki Group Chairman, billionaire Narendra Raval, who had unveiled his plan to inject Ksh5 billion in the company last month.
Raval's plan was to put Ksh4 billion to rebuild the processing plant and Ksh1 billion to pay farmers, debts owned to the bank and cover running expenses.
However, a week later, Raval withdrew his bid citing political interference after western Kenya politicians questioned his intention.
Sugarcane farmers accused politicians of frustrating the reviving process of the company.
The businessman clarified the issue in a statement that read, "We wish the receiver-manager success as they seek the most appropriate method of revival and to take Mumias to the next level.
Just last year, the Rai Family had placed a bid to control government state-owned companies Chemelil, South Nyanza, Nzoia, Miwani and Muhoroni sugar.Diffuser at Mumias Sugar Company
- NEW ASSOCIATION26 September 2021 - 12:39 pm
- Revealed26 September 2021 - 12:01 pm
- Insider26 September 2021 - 11:32 am
- End Curfew26 September 2021 - 11:03 am
- Confessions26 September 2021 - 10:43 am
- Lucky26 September 2021 - 10:50 am
- Retaliation26 September 2021 - 9:39 am
- RIP26 September 2021 - 8:46 am
- Revealed26 September 2021 - 8:13 am
- Promises26 September 2021 - 7:44 am
- revealed26 September 2021 - 8:43 am
- Degree Bagged25 September 2021 - 7:34 pm