OK Zimbabwe advances recovery plan with property sales and new funding

 

OK Zimbabwe has received offers for some of its properties as part of efforts to raise US$10.5 million to settle debts.

According to NewZwire, the retailer plans to sell certain supermarkets and then lease them back in order to maintain operations in key locations.

“The leaseback arrangement is necessary to ensure the Group continues to operate in its strategic store locations,”  Ok said

The move is part of a broader recovery plan aimed at stabilising the business after years of financial strain.

OK has also secured US$20 million from shareholders to reduce debt and replenish stock, a step expected to improve its competitiveness in the market.

However, the company admits that rebuilding retail skills remains a challenge. “When the group was in decline, retail skills were lost as trained and experienced personnel left employment for better opportunities. It will therefore be essential to retrain the existing staff to raise levels of customer service and standards of performance,” the company noted.