Retail Giant OK Zimbabwe Runs Out of Money — Placed Under Corporate Rescue

HARARE – OK Zimbabwe Limited has entered corporate rescue after its US$30.5 million recapitalisation plan failed to close a critical funding gap, leaving the country's largest listed supermarket group struggling under mounting supplier debt, declining revenues and worsening liquidity constraints.

The move follows stalled property disposals meant to raise US$10.5 million and growing pressure from creditors owed about US$24 million, despite shareholders having injected US$20 million through a rights offer.

A notice issued on 25 February 2026 by Wintertons Legal Practitioners confirmed that the board resolved on 23 February 2026 to voluntarily commence corporate rescue proceedings in terms of Section 122 of the Insolvency Act.

Bulisa Phillimon Mbanje has been appointed Corporate Rescue Practitioner, with proceedings deemed effective from 24 February 2026.

Shareholders successfully injected US$20 million through a rights offer. However, the remaining US$10.5 million, expected from property disposals, has not been realised after sales took longer than anticipated.

The retailer recorded a US$17.8 million loss for the six months to September 2025. Revenue declined 53% to US$240 million in 2025, reflecting falling volumes and constrained stock availability.

Of its 62 stores, 11 have been closed, with three more pending. Head office staff cuts and other cost-containment measures are expected to reduce expenses by a further 15%.

Major shareholders include the National Social Security Authority (NSSA) and investors represented by Datvest Nominees.

Corporate rescue proceedings temporarily shield the company from creditor enforcement while a recovery plan is developed and presented to creditors and shareholders for approval.

Source: ZimProphets News Desk | Feb 26, 2026