Author: Muindi

Kenya Airways PLC has issued a profit warning for the financial year ending 31 December 2025, cautioning that earnings will fall by at least 25% compared to 2024. The carrier expects its net profit to drop by at least 25%, or roughly KSh 1.35 billion, compared to the KSh 5.4 billion net profit reported in 2024. The caution reflects sharp reductions in passenger traffic, grounded aircraft, and global supply‑chain pressures that have hit many airlines worldwide but are proving especially damaging for KQ. What Went Wrong: Grounded Planes and Falling Demand In the first half of 2025, KQ posted a…

The National Social Security Fund (NSSF) has signed a Kes 1.6 billion share purchase agreement with Kalahari Cement, ceding a 27% stake in East African Portland Cement Plc (EAPC). Under the agreement, Kalahari Cement will acquire 24.3 million ordinary shares at Kes 66 per share, subject to regulatory approvals. Strategic Investment The transaction will give Kalahari Cement effective control of EAPC, though the firm has confirmed it will not pursue a takeover offer. Kalahari Cement is a subsidiary of Amsons Group, a pan-African energy and manufacturing conglomerate. The deal follows Kalahari’s recent acquisition of a 29.2% stake in EAPC from…

The Capital Markets Authority (CMA) has launched an expanded investigation into Uchumi Supermarkets, intensifying scrutiny of the troubled retailer after investor and lawyer Francis Njoroge Wanjiku filed a formal complaint over board conduct, disclosures, and regulatory compliance. In its response to the Commission on Administrative Justice (CAJ), CMA flagged delayed audits, weak governance structures, and stalled progress on Uchumi’s Company Voluntary Arrangement (CVA). The regulator confirmed it is conducting a fresh assessment of the retailer’s board effectiveness, financial reporting history, operational disclosures, CVA commitments, and ongoing litigation, including disputes linked to the Kasarani Mall property. CMA noted that Uchumi has…

East African Breweries Plc (EABL) successfully listed the first tranche of its Medium-Term Note (MTN) Programme on the Nairobi Securities Exchange (NSE), raising KES 16.76 billion. Strong Investor Demand The issuance closed 154% oversubscribed, signalling renewed investor confidence in Kenya’s capital markets. This tranche is part of EABL’s KES 20 billion MTN Programme, designed to fund operations and regional expansion. Absa Bank Kenya, the lead arranger, highlighted the outcome as proof of Kenya’s financial ecosystem strength and investor sophistication. This morning, we proudly hosted a Bell Ringing Ceremony to commemorate the listing of the first tranche of the East Africa…

Paramount Bank has exceeded the Central Bank of Kenya’s (CBK) minimum core capital requirement of KES 3 billion, reporting KES 3.118 billion as of September 2025. This regulatory milestone, achieved ahead of the 31 December deadline, follows a KES 332 million rights issue from existing shareholders. Despite a 52.85% YoY drop in Profit After Tax (PAT) to KES 110 million, the bank delivered strong growth in non-funded income, which surged 93.07% YoY to KES 279.98 million, driven by enhanced fee-based services and treasury operations. However, a 260% increase in loan loss provisions to KES 144 million impacted profitability. “The strengthened…

Sidian Bank has taken decisive steps to strengthen its balance sheet, approving a KSh3 billion rights issue that has already raised KSh2.5 billion. The final KSh500 million is expected soon, providing the lender with fresh capital to drive its medium-term growth strategy for 2024–2028. Management says the funds will be channelled into expanding trade finance, scaling operations, and reinforcing regulatory capital buffers. Centum Investment Company, once a dominant owner, has steadily diluted its stake, raising KSh3.2 billion by partially selling Sidian shares. Fred Murimi, Managing Director at Centum Capital, explained that some minority shareholders did not take up their rights, which…