Copia Global liquidates, lays off all staff

Copia Global, a Kenya-based B2C e-commerce startup, has decided to liquidate its assets and pay off creditors, ending efforts to revive its business.

This decision revealed in an internal memo, marks the closure of the platform that catered to rural and peri-urban customers, offering 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 for creditors.

Read Also:

Telegram expands Stars digital currency for paid content

TikTok to lay off large percentage of workforce amid growing tech industry turmoil

In an email to staff, Copia’s administrator stated, “It was anticipated that Copia’s business would be maintained as a going concern, albeit with significantly reduced operations, to attract much-needed investment through a new company.

“However, this has regrettably not been successful, and it is apparent that the company’s options are limited to the realization of assets to settle creditors’ claims, as provided for in the Insolvency Act of 2015.”

Employees are set to receive severance packages on July 4, while creditors have been called to a meeting on July 14 to discuss their claims.

Copia, founded by Tracey Turner and Jonathan Lewis in 2013, appointed Makenzi Muthusi and Julius Ngonga of KPMG as administrators in May 2024 after struggling to make payroll. Despite laying off 1,060 employees to cut costs, attempts to secure new funding in June 2024 were unsuccessful.

The liquidation of Copia reflects the broader challenges faced by B2B e-commerce companies in raising fresh funding amid worsening macroeconomic conditions on the continent.