Kenyan Startups, Wasoko and Sendy Still in Operation, Dismiss Shut Down Report

Amidst controversies of some Kenyan startups about shutting down operations wholly or partly in a Business Daily report, Wasoko, an e-commerce company has issued a press statement to clarify its position in the market.

“We are aware of growing reports which claim that Wasoko, Africa’s largest B2B e-commerce network has relocated to Zanzibar and failed in Kenya. These reports are false and misleading. Wasoko continues to be headquartered in Kenya  and recently launched our new HQ Offices at Senteu Pillar, Kilimani.”

As seen by The Ouut, the company noted that Kenya has remained key to its growth. It has employed up to one thousand employees and as well gained over 48,000 customers.

What Zanzibar Silicon Valley means for Zanzibar and other African governments?

Following an unfavourable environment owing to government regulations, the startup expanded to Zanzibar in August where it intends to build an African Silicon Valley that generates employment for engineers, product managers, designers and researchers across Africa.

”The Innovation Hub in Zanzibar launched in August is focused on building world-class solutions to support our operations across Africa. The team at the Hub comprises engineers, product managers, UX designers and researchers,” the statement highlighted.

Another startup, Sendy was also on the list of startups expected to have shut down; however, in a couple of tweets, Co-founder and CEO, Mesh Alloys debunked the supposition.

Recently, the logistics company laid off 20% of its workforce following the halt of one of its products. This trend has surrounded several startups due to funding crisis. In other cases, despite millions funded in a startup, the move is identified as a precautionary measure to abate anticipated economic downturns while saving operational costs.

Other startups on the list include Kune Food, Notify Logistics, Sky Garden, BRCK and WeFarm.