In response to an uproar from stakeholders, particularly sugarcane growers, the Senate Agriculture Committee issued a new order last month that attempted to increase openness in the lease-out process.
On Monday, the KCB receiver published a notice in local newspapers inviting investors to submit additional offers by 10am on August 31.
It is envisaged that the assets of the dilapidated state miller would be leased out on a “as-is, where-is” basis, with interested parties permitted to view the assets.
Through the renovation of critical infrastructure and effective administration, the leasing process is anticipated to give the city a new lease of life.
A leasing duration and monthly lease rent are expected to be agreed upon by the bidder and the receiver manager.
Ponangipalli Rao of Tact Consultancy’s first attempt to lease out the miller through a privately sponsored procedure failed due to opposition from stakeholders.
To avoid a public backlash, billionaire investor Narendra Raval abandoned his offer to lease out Mumias’ properties in early June, according to the Devki Group chairman.
In a recent task group report, the government endorsed the leasing out of Mumias Sugar holdings.
Due to increasing debt, KCB Group placed Mumias under receivership in September of 2019.