OK Zimbabwe wants to raise 30 million dollars from investors to save the company. The retail chain faces serious money problems and owes suppliers millions. Store shelves sit empty because vendors stopped delivering goods. Company leaders plan to use the new cash to pay debts and restock stores. Shareholders must vote at a special meeting before the deal happens.
The retailer closed five stores early this year and fired hundreds of workers. Empty shelves drove customers away as suppliers demanded payment for past orders. OK Zimbabwe owed about 17 million dollars to various vendors across the country. Management paid generous dividends to shareholders before asking for emergency loans. Critics say those dividend payments hurt the company's ability to buy inventory.
Company secretary Margaret Munyuru says talks with potential investors are almost finished. The board hired local and international groups to help find the money. New funds will help renovate busy stores and upgrade computer systems. Better technology should prevent future stock shortages and improve customer service. Market experts believe success depends on restoring supplier trust and filling empty shelves again.
The retailer closed five stores early this year and fired hundreds of workers. Empty shelves drove customers away as suppliers demanded payment for past orders. OK Zimbabwe owed about 17 million dollars to various vendors across the country. Management paid generous dividends to shareholders before asking for emergency loans. Critics say those dividend payments hurt the company's ability to buy inventory.
Company secretary Margaret Munyuru says talks with potential investors are almost finished. The board hired local and international groups to help find the money. New funds will help renovate busy stores and upgrade computer systems. Better technology should prevent future stock shortages and improve customer service. Market experts believe success depends on restoring supplier trust and filling empty shelves again.
