Copia Global, the Kenyan B2C e-commerce startup that went into administration on May 24, has called off its business revival efforts and liquidate assets to clear debts owed to its creditors, an internal memo seen by TechCabal shows. This spells doom for the e-commerce platform that enabled customers in rural and peri-urban areas to order a variety of household items such as sugar, cooking oil, and toiletries.
The company plans to lay off all its employees and sell some of its assets—including delivery trucks, warehouses, and office equipment—to recover enough cash to at least square some of its debts with creditors.
“It was expected that Copia business would continue as a going concern albeit with significantly reduced operations to attract the much-needed investment through a new company to enable business continuity,” said Copia’s administrator in an email to staff.
The efforts, alas, have borne no fruit, leaving it with the third objective under the Insolvency Act of 2015: realization of assets to pay off creditors’ claims.
The memo from the administrators indicates that staff will get severance packages on July 4. But, the company has also invited its creditors for a meeting on July 14 to present their respective claims.
Copia’s administrator, Makenzi Muthusi did not react to a request for comment immediately.
Founded in 2013 by Tracey Turner and Jonathan Lewis—with the latter currently facing financial turmoil—Copia entered talks with potential investors in June 2024. The discussions however did not bear fruit, a person with direct knowledge of the matter said.
In May 2024, the company engaged administrators: Makenzi Muthusi and Julius Ngonga of KPMG. This was in response to deep financial adversity that threatened payroll. Consequently, the company laid off 1,060 employees to cut overhead costs and stay afloat until it could raise more money. The wind-up of Copia adds to a tough year for B2B e-commerce firms struggling to operate as the macroeconomic environment tightens on the continent.