KOKO Networks’ United Kingdom carbon buying and selling arm collapsed weeks after reporting a surge in income, as a regulatory setback in Kenya reduce off entry to a higher-value carbon market central to its enterprise.
Accounts for KOKO Networks (UK) Ltd, signed on February 5, 2026, and seen by TechCabal, present turnover jumped to £39.8 million ($50.5 million) in 2024 from £1.8 million ($2.3 million) a 12 months earlier. The corporate nonetheless recorded a £14.0 million ($17.8 million) loss and amassed deficits of £104.6 million ($132.8 million), with liabilities exceeding property.
The filings supply a snapshot of a fast-growing carbon credit score enterprise that relied on regulatory approvals in Kenya to stay viable.
KOKO Networks (UK) Ltd, which trades carbon credit linked to wash cooking tasks run by its dad or mum group, entered administration on February 19 after an related Kenyan entity did not safe a allow required to entry compliance carbon markets. That entity entered administration on 1 February 2026.
Compliance markets supply greater costs than voluntary markets, making them vital to the corporate’s path to profitability.
“Because of this growth, the Administrators have decided that the corporate is not capable of determine a viable pathway to attaining revenues and profitability,” the submitting said.
By the point the 2024 monetary statements for KOKO Networks (UK) Ltd have been permitted on February 5, 2026, the corporate had ceased buying and selling and ready its accounts on a break-up foundation, reflecting anticipated asset recoveries and shutdown prices.
Even earlier than the regulatory setback, the enterprise was below stress because it relied on £28.6 million ($36.3 million) in related-party borrowings in 2024, whereas working money stream remained damaging.
The corporate sourced all its carbon credit from a single related-party provider in Kenya, concentrating each provide and regulatory threat. When that hyperlink failed, there was no different path to market.
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