Kenyan Cabinet Approves Government’s Sale of Shares In Six Listed Companies

Kenya’s cabinet has approved a government proposal to sell the shares it holds in six listed companies, including a cement maker and the country’s securities exchange, President William Ruto’s office announced.

The government will offload the shares it has in East African Portland Cement, Nairobi Securities Exchange, HF Group, Stanbic Holdings, Liberty Kenya Holdings, and battery maker Eveready East Africa, according to a statement from Ruto’s office released late Tuesday.

The government’s direct stake in East African Portland Cement is 25.3%, while the National Social Security Fund owns 27%. The government holds a 3.36% shareholding in the Nairobi Securities Exchange, 2.41% in HF Group, 1.1% in Stanbic Holdings, 0.9% in Liberty Kenya Holdings, and 17.2% in Eveready East Africa.

This move is part of a broader government plan to privatise shares in state-owned companies. In November, President Ruto announced the government’s intention to privatise 35 state companies following the enactment of a law in October to guide the privatisation process.

However, the plan faced challenges in December when an opposition party went to court, arguing that some of the companies to be sold were of strategic national interest and should only be sold with citizen approval. The court case has delayed the government’s privatisation agenda, but the latest announcement indicates a continued push to offload government stakes in publicly listed firms.

Melissa Enoch

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