Tyre distributor Sameer Africa has shut down its tyre distribution business, subsequently sacking 73 employees by the end of this month – By Gerald Gekara
Sameer in its defense says the tyre business has continued to suffer despite closing the Nairobi factory and outsource production to Asia, in order to boost profits.
“We wish to inform you that despite the implementation of several changes in our business operations and strategy, the business has not improved, and survival of the company is and remains a major challenge,” Sameer’s chief executive Peter Gitonga wrote to Nairobi County Labour Office on April 24, 2020.
The company has long lamented intense competition from cheaper tyre imports. However the company did not disclose the reason why it was closing shop.
While Sameer’s tyre business appears to be down and out, investors are out to seek its land value, that it acquired cheaply.