Kenya moves to strike off 300 firms in major corporate register clean-up

Kenya has issued a final notice to deregister at least 300 companies for inactivity or regulatory non-compliance, stepping up a routine administrative drive to purge dormant and non-compliant entities from the country’s official business register.

In a gazette notice published on January 2, the Registrar of Companies, Damaris Lukwo, said the firms face dissolution unless they demonstrate compliance within 90 days. The deregistrations are expected to take effect in early 2026 if the affected companies fail to respond.

The move was made under Section 894(3) of Kenya’s Companies Act, which empowers the registrar to strike off firms that are no longer operating or have failed to meet statutory obligations. The notice gives companies and any interested parties three months from the publication date to “show cause” why they should remain on the register.

“The Registrar of Companies gives notice that the names of the companies specified hereunder shall be struck off from the Register of Companies at the expiry of three months from the date of publication of this Notice, and invites any person to show cause why the companies should not be struck off,” the notice said.

To avoid deregistration, companies must prove they are still carrying out business activities, settle outstanding statutory fees and file all overdue annual returns. Firms that fail to meet these requirements within the stipulated period will be removed from the register and legally dissolved.

Once struck off, a company ceases to exist as a legal entity. It can no longer enter into contracts, own property, sue or be sued, or conduct any form of business. Any remaining assets are deemed bona vacantia ownerless property and may be claimed by the state, according to Kenyan law.

The list of targeted companies spans a wide range of sectors, including construction, consulting, advertising and technology, and includes both long-dormant firms and relatively recent startups. Officials say the action is not punitive but administrative, aimed at ensuring the accuracy and integrity of Kenya’s corporate records.

The registrar’s office regularly undertakes such clean-ups to remove entities that have ceased operations or failed to comply with reporting requirements. Companies in Kenya are required to file annual returns and keep their records up to date, even if they are not actively trading.

Authorities say an accurate business register is critical for investor confidence, regulatory oversight and economic planning. By removing inactive or non-compliant firms, the government aims to improve the quality of commercial data and reduce the risk of fraud or misuse of defunct corporate structures.

The deregistration drive comes as Kenya continues to push broader reforms to improve the ease of doing business and strengthen regulatory compliance. In recent years, the government has digitised several company registry services, making it easier for firms to file returns, update records and access official documents online.

Legal experts say companies that believe they were included in error still have an opportunity to regularise their status within the 90-day window. In some cases, firms that have been struck off can apply for restoration, but the process is more complex and costly than responding within the notice period.

The full list of companies facing deregistration is contained in the gazette notice published on January 2 and is accessible through official government channels.

While the move affects a relatively small number of firms in an economy with hundreds of thousands of registered entities, it underscores the risks faced by businesses that neglect statutory obligations. For Kenya’s regulators, the action signals a continued focus on enforcement and transparency as the country seeks to strengthen its corporate governance framework heading into 2026.

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