Mt. Kenya Tea placed under administration amid sector-wide turmoil
NAIROBI, Kenya, Sept 6 – Mt. Kenya Tea Factory has been placed under administration, effective September 3, 2025, following Insolvency Cause No. IP E049 Kenya breaking news | Kenya news today |..
✨ Key Highlights
Mt. Kenya Tea Factory has been placed under administration, effective September 3, 2025, due to a court order. This action transfers all operational control from the directors to Joint Administrators, amid significant challenges facing Kenya’s tea industry.
- The court appointed PVR Rao and Swaroop Rao Ponangipalli as Joint Administrators.
- The Kenyan tea industry is struggling with weak global pricing and climatic stress, leading to a 3.85 percent fall in tea output in April 2025 compared to 2024.
- In the first half of 2025, Kenya’s tea export earnings dropped by 12.1 percent, from Sh102.47 billion to Sh90.12 billion.
- Parties with claims against Mt. Kenya Tea Factory must submit documentation by September 30, 2025.
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Mt. Kenya Tea Factory and Njeru Industries Placed Under Administration - September 2025
Mt. Kenya Tea Factory Limited has been placed under administration, with the move becoming effective on September 3, 2025, due to a court order. Insolvency practitioners have been appointed to manage the company's affairs. This action transfers all operational control from the directors to Joint Administrators, meaning the directors no longer have power over the company's assets. This development occurs amid significant challenges facing Kenya’s tea industry. Separately, Njeru Industries has also been placed under administration, and two supervisors have been picked to manage it.
