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High Court Dismisses Bid by Bia Tosha Distributors to Halt EABL–Diageo–Asahi Transaction

The judge held that entertaining the application would undermine the judicial hierarchy and risk conflicting decisions between courts of concurrent jurisdiction.

NAIROBI, Kenya Jun 2 — The High Court has dismissed an application by Bia Tosha Distributors Limited seeking interim orders to stop the completion of a proposed transaction involving East African Breweries Limited (EABL), Diageo, and Asahi Group Holdings, pending the outcome of proceedings before the Court of Appeal.

In its ruling, the court found that the applicant had already elected to pursue relief at the appellate level and could not return to the High Court seeking similar conservatory orders on the same matter.

The judge held that entertaining the application would undermine the judicial hierarchy and risk conflicting decisions between courts of concurrent jurisdiction.

“Having chosen to move to the Court of Appeal in an attempt to obtain relief, the petitioner cannot now return to this court seeking similar orders. Such a course would not be respectful to the hierarchy of courts and may embarrass the judicial system,” the court ruled.

The court further observed that the issues raised were already pending before the Court of Appeal, and therefore the High Court could not intervene in matters actively under consideration by a superior court.

Bia Tosha Distributors had argued that it was seeking temporary conservatory orders to preserve the status of the transaction pending determination of its appeal, insisting that the application was not barred by the doctrine of res judicata.

However, the court found that the applicant had not demonstrated sufficient grounds to justify the issuance of conservatory orders.

“The applicant has not persuaded the court that conservatory orders ought to issue in the circumstances of this case,” the judge stated.

As a result, the court dismissed the application with costs, bringing a temporary end to the bid to halt the high-profile corporate transaction involving EABL, Diageo, and Asahi Group Holdings.

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