An administrator who had taken charge of two failed startups this year has sought to sell off their assets, which include technological facilities and office furniture – possibly to finalize liquidation and sort out any pending debts.
- •KPMG administrators have called for Expressions of Interest (EOI) from companies who would wish to capitalize on the startups’ assets, announcing that applications for the assets should be received before 31st July this year.
- •Copia’s assets include a 30,000 agent network and a potential customer base of 2,000,000, as well as a B2C platform that integrates a website, a mobile app, and a USSD code.
- •iProcure’s assets include a one-time customer base of 5,000 agri-product retailers, a number of motor vehicles, and a ERP Agri-tech point of sale.
“The administrator will provide additional information upon executing non-disclosure agreements. The administrator acts as an agent of the company without personal liability,” said the administrator.
In May this year, Copia announced that it would lay off its staff and possibly shut down if it did not raise revenue or funding to salvage operations.
It was unable to salvage itself and was taken over by an administrator who was mandated to restructure operations and slow down the revenue burn rate.
Later in June, the company ceased operations in various towns across the country and it was only a matter of time before its assets were sold.
iProcure was also placed under administration in May this year after its inability to raise more cash for operations. Both of these companies had raised millions of cash in several funding rounds since their establishment, and it therefore came as a surprise that they were incapable of scaling up operations and attracting substantial revenue.
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