Rival bus company takes over Akamba premises
Posted Monday, July 2 2012 at 19:28
A rival bus company is moving into Akamba premises in the region as it seeks to take advantage of the fallen giant’s infrastructure.
EasyCoach managing director Azin Dosa has confirmed that his firm had leased offices formerly occupied by Akamba in Kisumu, Kitale and Kampala.
When Akamba started collapsing, he added, his firm was approached by more than 20 landlords to lease the properties. (CLICK HERE to see a timeline of events at Akamba)
“We identified the ones that were of strategic importance to us and moved in,” Mr Dosa said.
Reports published last month indicated that EasyCoach was planning to expand its operations in the region.
Mr Dosa confirmed this, but said the activities would be restricted to increasing the company’s network in Kenya and Uganda.
Mr Dosa worked at Akamba before jumping ship in 2001 to start his own transport company.
A director at Akamba, Mr Peter Kamba, confirmed that the firm’s offices in other parts of the country remained either closed or were leased to other transport companies.
Akamba’s woes became public earlier this year when workers sued the directors over Sh6 million in unpaid salaries. It emerged that Akamba had been sinking over the past decade under the weight of massive debts, a situation that was exacerbated by a family wrangle and mismanagement.
The company had also been finding it difficult to cope in a new operating environment.
Last month, its directors agreed to auction property worth Sh300 million to pay off debts to KCB and Diamond Trust Bank, among others.