HF share defies dilution prospects as investors’ eye rights

The share price of Housing Finance has risen by 7.7 per cent in the past five days to Sh48.75 last Wednesday, which could have been motivated by a publication by the mortgage lender of a timetable for the significantly discounted rights. The firm is selling an additional 116,666,667 shares to existing investors at Sh30 per unit, which is a discount compared to the market price of Sh50 per unit. The mortgage lender has shrugged off dilution prospects in forthcoming rights issue where it is issuing 2 shares for every share held to existing investors. The dilution is expected to depress the shre price of the firm on the NSE quite substantially [...]

Treasury seeks Sh45bn IMF facility

The Kenyan Cabinet secretary for Finance has indicated that the government had successfully negotiated for a Sh45 billion ($488.25 million) loan facility from IMF and was awaiting approval from the IMF board. Kenya had initially approached the International Monetary Fund for a precautionary loan of about $750 million, that would aid in cushioning the economy from future shocks, especially when the Kenyan shilling undergoes a major depreciation. Other reasons could be security-related, weather-related or a change in the sentiments of foreign investors which could affect capital inflows [...]

Co-op Bank in race to replace share unit boss

The stockbroking arm of Co-operative Bank Group, Kingdom Securities has started a hunt for a new managing director, after the position fell vacant on 28^th of February, when the then M.D Geoffrey Otieno Odundo left to head the NSE as the new chief executive. Applicants must have a first degree, an MBA and be holders of CFA or other financial certification. In addition, they ought to have excellent leadership credentials and ability to drive the business of the brokerage firm to market leadership by developing an institutional client base through signing up leading fund managers, insurance companies, banks and parastatals. The leaders in the bonds and equities trade have been Renaissance Capital, Dyer and Blair, Kestrel Capital, and Standard Investment Bank [...]

Bid family, Broadways invest in Sh1bn Thika real estate project

Bid Family, Bread maker Broadways, Dawa Ltd and manufacturer Capwell Industries have formed a consortium with an aim of investing in a residential and business development called Albizzia Downs Estate. The investment will be implemented in phases with the first one to be hosted along the Thika-Mang’u road beginning in March. Some 48 acres of the land will be put into a high and medium-end residential housing estate. Another 45 acres will host a medium-density residential estate while three acres will be set aside for a high-density residential zone. The Bid family, which had tried to buy Rea Vipingo Plantations, but was unsuccessful, is investing over Sh1 billion in the arrangement. The land itself which is valued at Sh1 billion due to its prime location by the tarmack road, and also neighbors the proposed M-Pesa academy by Safaricom and an upscale residential area [...]

SA bottle firm mulls setting up Kenya factory

Nampak, a South African packaging firm, is aiming at expanding its Kenyan market by putting up a glass furnace division. The firm which had bought fully Bullpack, a Thika-based manufacturer of paper packets that was jointly held with Unga Group, also manufactures cans for Del Monte, Nestle and Coca-Cola and has been operating since 1947 [...]