Centum to inject Sh1.2bn bond proceeds into K-Rep

Centum is set to inject Sh1.2 billion additional capital into K-Rep Bank from the proceeds of its Sh6 billion bond whose sale kicked off on Monday. The listed investment firm disclosed in its information memorandum for the fixed-rate and equity-linked notes that it will direct 60 per cent of the money—or Sh3.6 billion— into K-Rep. The balance of Sh2.4 billion will go towards paying off a short-term bridging facility taken at the time of raising stake in K-Rep bank last November,that took its holding to 65.6 per cent from 1.66 per cent. Other Centum bond proceeds will go towards the investment firm’s real estate project in Entebbe, Uganda and power projects in Lamu and Menengai, Nakuru [...]

Diaspora-linked microfinance set for CBK licence

The Central Bank of Kenya (CBK) is expected to license a diaspora-linked micro-lender as the eleventh deposit-taking microfinance bank. Choice Microfinance Bank seeks to facilitate investment of diaspora funds in small and medium size enterprises in marginalised areas of Kenya. Diaspora remittances have risen significantly over the past few years to average over Sh10 billion monthly [...]

Moody’s says mobiles giving Kenya the edge in banking

Adoption of mobile banking has helped lift Kenya’s financial inclusion levels to over twice the average for Sub-Saharan Africa (SSA), a new report by global ratings agency Moody’s shows. The report says 75 per cent of the adults have a bank account—including mobile banking accounts—against an average of 34 per cent in the SSA region [...]

Essar set for final talks with Treasury on KPRL exit

Officials of Indian firm Essar Energy are expected in the country for final negotiations with the Treasury on their underway exit from joint ownership of the Kenya Petroleum Refineries (KPRL). Finance PS Kamau Thugge says the government has set aside funds to buy out Essar from their 50:50 joint ownership of the Mombasa-based oil refinery [...]

SA’s Tiger Brands says Haco profit figures were cooked

Top managers of Haco Tiger Brands, which billionaire businessman Chris Kirubi chairs and in which he owns a minority stake, have been fired after its South African parent company accused them of profit manipulation. Tiger Brands said that both external and internal auditors failed to pick up the irregularities at Haco [...]

Jamii Milling gives maize farmers an economic lifeline

Jamii Milling is in talks with two banks to grant its suppliers and distributors access to credit, under contract farming, thus offering the miller a steady supply of maize and ensuring faster delivery of flour to the market. With its newly built Sh1 billion milling plant in Eldoret, the miller plans to enter into a contract with farmers to grow maize [...]

Customs official recalled from Mumias Sugar

The taxman has recalled the resident customs officer based at the Mumias Sugar Company following an ethanol export scam through which the revenue agency lost millions of shillings. The official is expected to shed light on the ongoing investigations in which top managers at the factory are said to have diverted ethanol meant for export into the local market, thereby evading millions of shillings in tax [...]