Local automotive pioneer, Mobius Motors Kenya Ltd, has announced its intention to liquidate, a significant development in the country’s automotive industry.
The decision was made at a shareholders’ meeting held on August 5, 2024.
In a notice issued yesterday, the company revealed that it will be placed into liquidation pursuant to Section 393(1)(b) of the Insolvency Act, 2015.
KVSK Sastry has been appointed as the Liquidator to oversee the winding-up process.
The next crucial step in this process will be a meeting of the creditors, scheduled to take place next week at the Mobius Factory in Nairobi to consider and potentially approve the appointment of Sastry as Liquidator, as stipulated under Section 408 of the Insolvency Act.
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"At a meeting of the Shareholders held on 5-Aug-2024, it was Resolved to place the Company under Liquidation as per Section 393(1) (b) of the Insolvency Act and to appoint KVSK Sastry as the Liquidator to wind-up the Company," the notice read.
A list of creditors and proxy forms will be available for inspection at the company’s offices from 9 August 2024.
"Notice is hereby given that a meeting of the creditors will be held on 15-Aug-2024 at 9 AM at Mobius Factory (Sammer Africa, Mombasa/Enterprise Road Junction, Nairobi) to consider, and if thought fit, to pass a Resolution approving the Shareholders' nominee as the Liquidator of the Company as per Section 408 of the Insolvency Act."
The announcement comes as a shock to many, given Mobius Motors’ role in championing local automotive manufacturing.
The company had been hailed for its innovative approach to creating affordable vehicles for the Kenyan market.
Nicolas Guibert, Director of Mobius Motors Kenya Ltd, signed the notice, which outlines the formal steps to be taken in the liquidation process.
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