Twiga Foods, a platform facilitating connections between Kenyan farmers and food vendors, has successfully obtained undisclosed funding as part of a strategic business refinancing initiative. This development comes just weeks after the company faced a KES 40 million (USD 261,878.75) debt collection lawsuit from Incentro Africa, a cloud services vendor.
The new funding has been secured from prominent investors, including Creadev, Juven, TLcom Capital Partners, and DOB Equity—all of whom were also participants in Twiga’s 2021 $50 million Series C funding round.
Twiga’s CEO, Peter Njonjo, addressed the recent developments in a now-deleted Medium article posted two weeks ago. In the article, Njonjo stated, “We have sent over 100 letters informing suppliers that we have now finalized our restructuring and refinancing and they will finally have their long outstanding dues paid.” This marks a significant shift from Twiga’s initial stance, where it disputed Incentro’s debt claim, stating that the lawsuit was “unreasonable and motivated by malice.”
Despite the initial disagreements, Twiga later confirmed engaging in discussions with Incentro to settle the debt. The company had previously asserted that the statutory demand made by Incentro was in “bad faith” and driven by “ulterior motives.”
During the liquidation proceeding, Twiga strategically argued that potential harm to its reputation could be a consequence, seemingly as a deterrent against similar lawsuits from other suppliers. By late 2022, Twiga had established relationships with over 140 suppliers.