Kenya Pipeline Company (KPC) PLC has officially begun trading on the Nairobi Securities Exchange (NSE) on Tuesday, and is one of the major listings in Kenya’s capital markets in nearly two decades.
The state-backed energy firm entered the market at an opening price of Ksh.9.30 per share, immediately placing it among the exchange’s ten largest companies by market capitalization.
The debut followed the successful completion of the company’s Initial Public Offering (IPO), which was oversubscribed by 105.7% and raised Ksh.112.37 billion.
The listing, the first major privatisation offer since 2008, was marked by a ceremonial bell ringing at the NSE trading floor in Nairobi, officiated by President William Ruto.
Ruto described the listing as a milestone for Kenya’s economy and capital markets, saying it expands opportunities for citizens to participate in the ownership of strategic national assets.
“This has been Kenya’s first fully electronic public offer, with all applications submitted digitally, making it a paperless and modern IPO,” he said.
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“It attracted more than 70,000 ordinary Kenyan investors, achieving one of its key objectives, broadening ownership and allowing citizens to participate directly in the growth of national enterprises.”
Both governments of Uganda and Rwanda are shareholders in the company, a gesture the President said reflects deepening economic cooperation within the East African Community (EAC).
He said the proceeds from the share sale will support infrastructure development through the government’s newly established National Infrastructure Fund, providing access to an estimated Ksh.1.2 trillion in long-term financing for national projects.
“Unlike previous privatisation proceeds that were absorbed into the government’s general budget, the funds from this IPO and future privatisation transactions will be channelled to the National Infrastructure Fund,” he said.
KPC board chair Faith Bett-Boinett said the company is entering a new phase as a publicly traded regional energy infrastructure company and pledged to uphold strong corporate governance.
“To our new shareholders, this is your company. We commit to managing it with integrity, transparency and a clear focus on delivering value,” she said.
Managing Director Joe Sang said the listing builds on the company’s 53-year record of operations in Kenya’s petroleum supply chain.
