By Spy Uganda
The Supreme Court has issued an interim order temporarily halting enforcement of a Court of Appeal decision that cleared the way for collection of a $10 million (about UGX 35 billion) debt from businessman Patrick Bitature and his Simba Group of Companies.
The stay, granted by Justice Elizabeth Musoke, pauses all recovery efforts by South Africa’s Vantage Mezzanine Fund II Partnership and preserves the status quo while the country’s highest court considers the full application for a stay of execution and possible leave to appeal.
“The main purpose of an interim order is the preservation of the status quo to avoid rendering nugatory the determination of the substantive application for stay of execution and the appeal itself,” Justice Musoke wrote.
The judge added that it was a “reasonable inference” that Vantage intended to move swiftly to enforce the decree, rejecting its argument that there was no imminent threat of enforcement.
The high-stakes case dates back to 2014, when Vantage extended a $10 million mezzanine loan to Simba Properties Investment Co. Ltd, a subsidiary of Bitature’s Simba Group. The financing was backed by guarantees from other Simba entities and personal guarantees from Patrick and Carol Bitature, secured against prime real estate and equity holdings.
Vantage later accused the group of defaulting on repayments, prompting arbitration under the London-based International Chamber of Commerce (ICC), which in July 2023 issued a final award in Vantage’s favor.
Simba challenged enforcement in Uganda’s High Court, which initially ordered that mortgaged properties and company shares remain untouched pending further proceedings. However, in August 2025, the Court of Appeal ruled that Simba’s challenge could not proceed, citing Uganda’s Arbitration and Conciliation Act, which limits appeals against interim orders. That ruling cleared the path for Vantage to begin enforcement—until the Supreme Court stepped in.
The Supreme Court’s intervention does not resolve the underlying debt dispute but rather provides a temporary reprieve while the justices examine whether Simba’s appeal is admissible.
Legal analysts say the ruling has reintroduced uncertainty for creditors and investors, who had welcomed the appellate court’s earlier decision as a sign of Uganda’s support for foreign arbitration awards.
For Bitature, however, the interim stay offers crucial “breathing space” for his business empire, which spans telecommunications, energy, hospitality, real estate, and agribusiness.
Patrick Bitature, 65, is one of Uganda’s most prominent entrepreneurs. He founded the Simba Group in 1998, starting with Simba Telecom, an MTN Uganda franchise, before expanding into property, hotels, and power generation. The group includes Protea-branded hotels, Simba Energy, and other ventures.
He also serves as Chairman of Umeme Limited, Uganda’s main electricity distributor.
Bitature has previously argued that his companies’ finances were severely impacted by the COVID-19 pandemic, which disrupted cash flows and delayed repayments.
An unfavorable ruling at the Supreme Court could pave the way for the seizure of key Simba Group assets, potentially shaking confidence in one of Uganda’s most visible private-sector brands. Conversely, a favorable decision could mark a turning point in how Uganda balances the enforcement of international arbitration awards with the protection of domestic enterprises.
The case is being closely watched by creditors, investors, and legal experts across East Africa, as it tests Uganda’s stance on cross-border commercial arbitration.
The outcome could shape the future of foreign investment and debt recovery frameworks, influencing how foreign financiers engage with local companies in high-value transactions.
For now, Justice Musoke’s ruling has frozen enforcement — granting Bitature and his companies a temporary reprieve while the Supreme Court deliberates on the next phase of the long-running legal battle.
