Copia Kenya Restructures to Attract Fresh Investment

Copia Kenya has announced a major restructuring aimed at securing new capital and stabilising operations amid tough market conditions. The ecommerce and fintech firm has appointed KPMG partners Makenzi Muthusi and Julius Ngonga to lead the administration process. The primary objective is to maintain Copia Kenya as a going concern. Management will work closely with the administrators to support continuity.

Parent company winds down
The restructuring follows Copia Global’s failure to raise capital on terms acceptable to its stakeholders and investors. As a result, the parent company is winding down, leaving Copia Kenya to seek direct investment independently. This shift separates the Kenyan operation from broader group constraints. It also allows targeted engagement with potential local and regional investors.

Challenging funding environment
Copia cited a difficult capital markets environment as a key driver of the decision. African venture capital funding fell sharply between 2022 and 2023, with ecommerce funding declining even more steeply. These trends have tightened access to growth capital for digital platforms. The company’s move reflects wider pressure across the sector.

Focus on efficiency and profitability
Under administration, Copia Kenya plans to cut costs, accelerate profitability, and sharpen its digital consumer strategy. Management acknowledged that workforce reductions are likely as operations are resized to match the new focus. Efforts will be made to preserve jobs where possible. The restructuring is intended to position the company for sustainable growth if fresh capital is secured.