Nairobi, July 2 -- Dutch brewer Heineken has secured a Sh250 million guarantee from Equity Bank, enabling it to suspend the payment of disputed interest on a Sh1.47 billion compensation award to businessman Ngugi Kiuna's Maxam Limited in a long-running distributorship fallout.

The Court of Appeal on May 29 granted Heineken a conditional stay of execution, directing the brewer to furnish a Sh250 million bank guarantee in favour of Maxam within 30 days, pending the hearing and determination of its appeal.

The dispute stems from the termination of a distributorship agreement in January 2016, for which the courts found Heineken liable to compensate Maxam.

In issuing the guarantee, Equity Bank stated that it would remain valid until the ear...