Wananchi Group at risk of liquidation as CP cables files insolvency case

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CP Cables has made a formal request to Wananchi Group (K) Limited for the payment of Ksh. 46.9 million. The demand was filed in the High Court of Nairobi, specifically before the Commercial and Tax Division, under the Insolvency Act, 2015.

The demand, which is part of Insolvency Cause No. E017 of 2026, indicates that the debt remains unpaid and that Wananchi must settle it within 21 days. If Wananchi fails to make the payment or offer a valid reason to dispute the debt, CP Cables could initiate proceedings that may result in the company’s liquidation.

The legal documents filed before the court emphasize that the outstanding amount must be paid either directly to CP Cables or through the law firm Madhani Advocates LLP, representing the creditor.

Failure to adhere to the demand could lead CP Cables to request the court to issue liquidation orders against Wananchi Group. This legal action is serious and could have long-lasting effects on the company.The demand was issued on February 6, 2026, and it refers to Section 384(1) of the Insolvency Act.

This part of the law treats non-compliance with the 21-day period as proof that a company is unable to pay its debts when they are due.

This means that if Wananchi does not settle the debt or offer a reasonable explanation for not paying, it will be seen as a sign that the company is financially struggling.

Wananchi Group, which operates under the Zuku brand, is a major player in Kenya’s telecommunications and media sector. It is one of the largest providers of pay television, broadband, and digital services in the country.

The company is part of Wananchi Group Holdings, which is largely owned by Axian Telecom. Axian Telecom is a pan-African telecommunications group based in Mauritius, with operations throughout East and Southern Africa.

The demand for payment comes at a time when companies in Kenya’s telecom and media industries are facing financial challenges. Rising operational costs, intense competition, and other market pressures have made it difficult for some companies to stay afloat.

The situation has raised concerns about the sustainability of businesses in this sector. If Wananchi fails to respond to the statutory demand, CP Cables may take further legal action that could lead to the company being liquidated.

This would not only affect Wananchi’s ability to continue its services but could also impact Axian Telecom’s operations in the region.

In summary, the demand for payment is a serious legal step taken by CP Cables to recover an outstanding debt from Wananchi Group.

The pressure is now on Wananchi to either settle the debt or face the possibility of liquidation, which could have significant consequences for the company and its parent group, Axian Telecom.

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