GT Flow Limited, formerly known as Twiga Foods One Limited, has been placed under administration as the company moves to address debts owed to suppliers and other creditors.
Mohamed Mohamed has been appointed as the administrator and has taken control of the company’s assets and management affairs as part of the process.
A Gazette Notice announcing the administration said the powers of the company’s directors to deal or transact with its assets have ceased unless they obtain express permission from the administrator.
“Moving forward, all matters, operational or otherwise pertaining to the affairs of the Company shall be directed to the Administrator or their authorised representatives,” the notice said.
The appointment of the administrator marks a significant development for the company as it seeks to address its financial obligations and protect the interests of creditors.
Under Kenya’s insolvency framework, administration is intended to provide a company facing financial difficulties with an opportunity to restructure its affairs while protecting assets and maximising the prospects of recovering funds owed to creditors.
The administrator assumes control of the company’s affairs and can make decisions concerning its operations and assets within the powers provided under the law.
The development comes amid financial challenges facing companies associated with the wider Twiga Foods ecosystem, one of Kenya’s best-known technology-driven food distribution businesses.
In March, a petition was filed at the High Court seeking the liquidation of Twiga Tatu SEZ Limited over outstanding debts.
The liquidation petition represents a separate legal process from the administration of GT Flow Limited, although the two companies are associated with the wider Twiga Foods ecosystem.
Under Kenya’s Insolvency Act, creditors can petition the court to liquidate a company that is unable to pay its debts.
If a liquidation order is granted, the company’s affairs and assets can be placed under the control of a court-appointed liquidator, who may sell assets and distribute the proceeds to creditors in accordance with the law.
Twiga Tatu SEZ Limited is associated with the wider Twiga Foods ecosystem, a Nairobi-based business-to-business food distribution platform founded in 2014.
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