Copia reportedly begins liquidation after fundraising failure

STARTUP VENTURE CAPITALJuly 3, 2024 at 7:04 PM UTC

TLDR

Kenyan B2C e-commerce startup, Copia Global, enters liquidation, abandoning revival efforts.
Platform enabled ordering of household goods for customers in rural and peri-urban areas.
Company to lay off employees and sell assets to pay creditors, including delivery trucks and warehouses.

Copia Global, the Kenyan B2C e-commerce startup that entered administration on May 24, has decided to liquidate its assets and pay creditors, abandoning efforts to revive its business, according to an internal memo cited by TechCabal.

This liquidation signifies the end of the e-commerce platform that enabled customers in rural and peri-urban areas to order household goods like sugar, cooking oil, and toiletries.

The company will lay off all employees and sell assets, including delivery trucks, warehouses, and office equipment, to raise funds to pay creditors.

Points clés à retenir

Founded in 2013, Copia began discussions with potential investors in June due to financial difficulties but these talks ultimately failed. In May, the company appointed Makenzi Muthusi and Julius Ngonga of KPMG as administrators after struggling to meet payroll. The following month, Copia laid off 1,060 employees in an attempt to reduce overhead costs and ensure survival until new funds could be secured. Copia’s liquidation marks another setback for B2B e-commerce companies, which have faced challenges in securing fresh funding amid worsening macroeconomic conditions on the continent.

Copia

B2B E-commerce

Kenya

E-commerce

Startups

Liquidation

Administration

Startup Shutdown

Startup Shutdowns