Creditors are seeking to auction three prime properties of billionaire investor Peter Munga, with the aim of recovering unpaid debts.
Munga who is widely known as the founder of Equity Bank, has other investments in agriculture, education, and insurance.
Billionaire investor together with his associate James Karanja had acquired loans and fronted their firms Equatorial Nut Processors and Meru Ginnery as a guarantee for the loans.
Consequently, the three prime properties targeted for auction are owned by Equatorial Nut Processors and Meru Ginnery.
According to a notice by Legacy Auctioneering Services, the billionaire’s two vacant commercial properties on a 0.36-acre land in Murang’a will be ready for auction on October 13, 2023.
At the same time, the auctioneer has acquired permission to sell an industrial-cum-residential property in Meru County established on a 15.6 acres land on October 17.
“It is developed with a ginnery factory consisting of five permanent go-downs, storage room, office, two ablution blocks, weighbridge, and two servants’ quarters,” read part of the auctioneer’s description.
READ ALSO: Here is Kenya’s first 51-seater electric bus
All three prime assets are established separately on leased land.
An employee at Legacy Auctioneering Services told news reporters during a press briefing that Munga’s debts are worth millions of shillings.
Details of the creditors are still not clear since the auctioneer declined to disclose information about them.
Peter Munga has not released an official statement regarding the auction.
This is not the first time Munga’s property faced auction, as in 2017 his five houses in Kasarani, Nairobi were almost auctioned by Jamii Bora Bank.
READ ALSO: DP Gachagua appeals for collaboration with Colombia to boost coffee trade
He stopped auctioneers from selling his Kasarani houses by repaying the loan to Jamii Bora Bank.
Munga bought the Meru Ginnery in 2013 with the aim of growing cotton for manufacturing towels and diapers.
Equatorial Nuts Processors was established in 1994 for the processing of macadamia nuts, peanuts, and cashew nuts.
