The partnership aims to inject new capital, expertise, and innovation to restore the firm’s competitiveness, marking a new chapter for one of Kenya’s oldest textile mills, with hopes of revitalising the cotton and textile value chain and reinforcing the nation’s manufacturing sector, as per Kenyan media reports.
The official onboarding ceremony for the new partner was held on Wednesday at Rivatex’s Eldoret premises. The event was presided over by Principal Secretary for Industry, Dr Juma Mukhwana, with Rivatex East Africa SEZ Acting CEO CPA Stanley Bett and Special Economic Zones Authority CEO Kenneth Chelule attended the event.
The restructuring followed a period of severe financial distress, with an audit by Auditor General Nancy Gathungu revealing that Rivatex had accumulated losses of Sh3.04 billion (~$23.54 million) and outstanding debts exceeding Sh140.92 million (~$1.09 million).
On September 3, 2025, Rivatex issued a redundancy notice in line with Section 40 of the Employment Act 2007. According to the internal memorandum signed by acting managing director CPA Stanley Bett, employees on fixed-term contracts that expired on August 30, 2025, would not be renewed, while those on permanent, pensionable, or long-term contracts would see their employment terminated effective September 3, 2025, following a three-month notice period ending November 30, 2025.
The company has pledged to pay all terminal benefits, including full salaries up to the final working day and any other lawful dues, while adhering to all labour regulations and ministry guidelines for a transparent separation process.
In July 2025, the President of Kenya William Ruto confirmed the onboarding of a private sector offtaker, noting that the undisclosed partner would supply seeds and other inputs to farmers to help the textile industry realise its full production capacity, added the reports.
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