Naivas International, the leading Kenyan retailer founded by the late businessman Peter Mukuha Kago, has demonstrated remarkable financial resilience in its 2023 fiscal year.
According to a recent report by BusinessDaily, Naivas, an operating subsidiary of Mauritian conglomerate IBL Group, recorded a profit of Ksh2.1 billion ($15.25 million) for the first nine months ending on March 31, representing a significant increase from the previous fiscal year.
This disclosure marks the first reporting of Naivas’ profits under IBL Group’s umbrella, with the retailer’s share of profits standing at Ksh553.4 million ($4.02 million) during the nine-month period.
Naivas Supermarket, founded in 1990, has long been Kenya’s largest supermarket chain and has consistently displayed a track record of profitability. This track record has attracted significant investor interest, resulting in a premium valuation for the company.
The family of late Kenyan businessman Peter Mukuha Kago sold an 8.5-percent stake in the retailer to the IBL consortium for Ksh3.7 billion ($31.5 million) in August last year, valuing Navas at Ksh45.6 billion ($379 million).
Following the transaction, the Mukuha heirs — Martha Waithera, Grace Muthoni, and David Kimani — own a 60-percent stake in Naivas through their investment entity, Gakiwawa Family.
Despite the challenges posed by the COVID-19 pandemic, Naivas’ success can be attributed to its robust business model, a network of 84 outlets across 20 cities and towns in Kenya, and its modern grocery retail offerings in prominent urban centers across the country.
The leadership of the Mukuha family, renowned for their entrepreneurial acumen, has played a pivotal role in the company’s growth.
