Negative net-worth to stalk KQ investors for 4 years

Kenya Airways shareholders are likely to be stuck with a negative net-worth position for the next four years even if the company’s profit position recovers under the restructuring, analysts at Genghis Capital say. KQ is yet to decide whether to go for equity, debt or a mix of both in funding its turnaround plan. Genghis Capital report says the airline’s revenue is likely to keep growing over the next four years, but that a return to profits will be dependent on [...]

Area under coffee up by 3,500 hectares in the past three years

Area under coffee cultivation has increased by 3,500 hectares in the last three years as traditional non-coffee growing regions embraced the cash crop. Agriculture PS Richard Lesiyampe says the increased acreage was realised in the last two crop years where farmers in the North Rift and Nyanza regions planted new coffee varieties such as Batian [...]

Prime Bank bond raises Sh10bn for expansion, SME lending

Prime Bank has raised a $10 million (Sh10.2 billion) dollar-denominated bond through a private placement, partly for its continental expansion and lending to SMEs. The second-tier lender will spend some of the funds on expansion into southern Africa where it already has a presence through its shareholding in Malawi-based First Merchant Bank. Prime Bank said it would also use the loan to grow lending to SMEs. The bank has previously said the sector accounts for a quarter of its loan book [...]

Family Bank to open 10 new branches before end of year

Family Bank will open 10 new outlets this year as part of an expansion drive expected to increase its branch count to 100 by end of December. Family Bank on Monday launched its 91st branch in Wote Town, Makueni, barely two months after opening three other outlets in Mlolongo, Maua and Kahawa West [...]

Uber, regular taxis rivalry turns ugly as drivers fight

The traditional street taxis have resorted to bullying Uber drivers hoping to push them out of the city, arguing that they are taking away their business. The street taxi drivers have complained over Uber’s cheap pricing model that is pre-determined by kilometre coverage and time spent. Uber Technologies, however, insisted that cases of intimidation and harassment of its drivers are isolated [...]

Businesses upbeat inflation to ease as client orders rise

Kenyan businesspeople expect inflation to ease in the coming months, lowering the cost of inputs at a time they are recording an increase in new orders from clients. Businesses are also optimistic interest rates will come down in the near-term given they expect Central Bank will eventually ease the monetary policy. The businesses maintained their belief that the shilling exchange rate will be more stable in the coming months [...]

Wananchi raises Zuku TV, Internet monthly fees

Wananchi Group, the owners of Zuku TV and Internet brand, has increased its monthly subscription charges for television and broadband by between two and 15 per cent [...]