High Court Approves Sale of Boss Beverage Assets Over Shs710m Absa Loan Dispute

Asante Business 

Kampala — The High Court has given Absa Bank Uganda the green light to sell property belonging to Boss Beverage after the company reportedly failed to clear a debt exceeding Shs710 million.

The ruling follows a legal battle in which the bank sought to recover money advanced to the beverage firm under a loan agreement secured by mortgaged property. According to court findings, Boss Beverage defaulted on repayment obligations, prompting the lender to begin recovery proceedings.

In its judgment, the court held that Absa Bank acted within the law and complied with the procedures required before enforcing the mortgage. The decision effectively authorises the financial institution to proceed with the sale of the pledged property in a bid to recover the outstanding loan balance.

The case highlights the increasing pressure facing some Ugandan businesses struggling with debt repayment amid challenging economic conditions and rising operational costs.

Legal analysts say the judgment reinforces the rights of financial institutions to enforce securities where borrowers fail to honour loan agreements, provided due process is followed.

By press time, neither Absa Bank nor Boss Beverage had issued an official public response regarding the court decision.