Nakumatt Supermarkets at the weekend closed its Mombasa Road outlet at NextGen Mall until further notice.

The branch, which was opened just nine months ago in December 2016, was meant to attract customers from Mombasa Road and its environs in areas such as South B and South C, The Standard reports.

Here is the notice the retail chain issued:

The retail chain has been experiencing problems over the past months due to cash-flow challenges that have seen its employees boycott work and suppliers withhold their products over payment arrears.

Nakumatt had announced in May that it would be closing several branches across East Africa to reduce the cost of running the supermarkets and make the retailer profitable again.

The move came as reports indicated the Uganda Revenue Authority had closed Nakumatt premises for failure to comply with tax obligations.

Nakumatt has already shut down several outlets in the neighbouring country, including at Acacia, Village and Victoria malls in Kampala and Entebbe.

However, the General Manager of Oasis Mall, Dany John,  dismissed the reports, terming them “fake news” even as customers were left stranded.

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