Understanding the Twiga-Incentro Dispute
In an effort to put an end to the prolonged financial dispute, Kenyan eCommerce platform Twiga Foods and Google Cloud reseller Incentro Africa have reached a settlement, opting to settle their differences out of court. This development brings closure to a contentious period spanning more than four months, characterized by legal battles and financial disagreements.
The Genesis: Google Cloud Services Debt Dispute
The conflict originated in September 2023 when Incentro Africa initiated legal action against Twiga Foods, demanding $261,878.75 in debt payments related to services provided under the Google Partners Funding Programme. The suite of services included Google Cloud Services and Partner Service Funds, forming the basis of the financial discord.
Twiga's Response and Counterclaims
In response to the debt demand and the looming threat of liquidation, Twiga Foods countered by filing a lawsuit, contesting the premature statutory demand by Incentro. The agritech firm argued that the demand was ill-timed and driven by ulterior motives, given that discussions with the primary service provider, Google Ireland Limited, were already underway.
Court documents revealed Twiga Foods' firm opposition to Incentro's claim, asserting that the demand was made in bad faith. Despite ongoing talks with Incentro regarding the outstanding bill, Twiga maintained its stance on the legitimacy of the cloud provider's suit.
A Three-Month Window
In December 2023, a Nairobi court granted both parties a three-month period to resolve their financial dispute. The court intervention provided a framework for dialogue, creating an opportunity for Twiga Foods and Incentro to find common ground.
Amicable Settlement: An End to Legal Wrangling
After extensive discussions and reassessment of their positions, Twiga Foods and Incentro have chosen to settle their debt dispute amicably, foregoing further court proceedings. The resolution comes in the wake of undisclosed investments into Twiga Foods by Creadev, Juven, TLcom Capital Partners, and DOB Equity, showcasing a renewed financial stability for the eCommerce platform.
CEO Insights: Acknowledging Progress and Collaboration
Incentro Africa CEO Dennis de Weerd commended the collaborative efforts led by Twiga's Chief Financial Officer, Zuber Momoniat. He highlighted the success of the deliberations and emphasized that this resolution marks an expansion of the relationship between Twiga Foods and Incentro Africa.
Leadership Transitions: Twiga's Journey Beyond Dispute
Founded in 2014 by Peter Njonjo and Grant Brooke, Twiga Foods has weathered leadership transitions, with Njonjo taking over as CEO in 2019. In a recent turn of events, Njonjo resigned as CEO after announcing a six-month sabbatical, marking another chapter in the company's evolving leadership landscape.