Mumias Sugar Company receiver manager Ponangipalli Venkata Rao has restarted the leasing process of the sugar miller.
This is after he was given more time by the Senate Standing Committee on Agriculture following the lapse of the two weeks period he was given to advertise for bidders for the leasing of the loss-making miller.
In a notice published in local dailies, the receiver has invited fresh bids from investors, latest by 10am on August 31.
“With a view to inject a new lease of life and in order to facilitate turnaround of the miller to profitability through modernisation and efficient management, the Receiver wishes to invite investors, who are interested in the leasing of all or any of the above facilities for mutually acceptable period at an agreed monthly lease rent,” read the notice.
Last month, Rao said he needed more time to finalize the documentation of the bids for the former giant sugar miller, which was placed under receivership by the Kenya Commercial Bank Group (KCB) in September 2019.
However, KCB has been barred from auctioning the plant to secure assets used as security for other loans.
Devki, owned by steel tycoon Narendra Raval, issued a public announcement indicating that it had withdrawn from the bidding due to the public outcry it had attracted.
“However, given the ongoing public interest which the matter has attracted and the call for a publicly run bidding exercise, we have found it worthwhile to take out our application,” Raval said in a statement on June 4.
Rao, however, told the committee that Devki is yet to submit an official withdrawal letter.
He said the bidding that started last year was still underway, without a definite date on when the process would end.