KQ projects Sh8.4bn savings from sale of B777s

National carrier Kenya Airways (KQ) estimates that it could make operational cost savings of more than Sh8.4 billion annually from the sale or sub-leasing of its Boeing 777 planes. KQ has recently been cutting capacity on long flights, withdrawing all of its long haul aircraft except for its nine B787-8s from the fleet. The airline has also been said to have entered a wet lease agreement with Oman Air for two Boeing 787-8s [...]

Centum’s Rea Vipingo coastal city deepens foray into real estate

NSE-listed investment company Centum has started preparations for the construction of an exclusive 9,500-acre coastal city in Kilifi County, deepening its foray into high-end real estate development. Centum is building the city on land that it purchased last year from Rea Vipingo Holdings [...]

Muthaura says TransCentury’s assets enough to cover Sh8bn Eurobond

Investment firm TransCentury has adequate assets to cover the Sh8 billion bond that falls due on March 25, according to the acting CMA chief executive Paul Muthaura. Acting CMA chief executive Paul Muthaura said TransCentury could soon reach a settlement with the bondholders, from whom it borrowed Sh6 billion through a bond in 2011 [...]

New CMA code requires listed firms to disclose individual directors’ pay

Companies will be required to disclose the remuneration policy applied on board members and executive directors and the package paid out, says the code published by the Capital Markets Authority (CMA) on Friday. The code also says that the executive directors will also be required to have some shareholding in those companies. The code is binding on listed companies that will have to explain why they are non-compliant to the regulator [...]

CEOs face pay cut as new corporate code comes into force

CMA last Friday gazetted the new corporate governance code, which takes effect immediately, meaning it may start affecting executive pay as early as this year. The rules require publicly traded companies to adopt a pay-for-performance formula for remunerating board members and top managers. The regulations, however, do not set what percentage of an executive’s total pay shall be tied to the company’s performance [...]

NSE 20 share index hits two-month high on bank stocks rally

Bank stocks have picked up value in the past week as they continue to release full-year financial results, helping the NSE 20 share index record a 4.1 per cent gain. The NSE main index has as a result risen to a two-month high of 3980 points. Analysts expect the market to continue making gains — even if modestly — due to favourable valuation that saw foreign investors turn from net sellers in the last three weeks of February to net buyers last week [...]

Remittances in slight rise in January to Sh14bn

Data from the Central Bank of Kenya (CBK) shows that the 2.6 per cent increase in remittances was helped by improved inflows from non-traditional sources (the rest of the world). Traditional sources are North America and Europe [...]

Uganda declines to reveal Imperial Bank sale proceeds

Uganda’s central bank Monday declined to reveal how much it raised from selling the majority stake in Imperial Bank Uganda that was previously held by the collapsed Imperial Bank Kenya. The Bank of Uganda (BoU) on Monday said it had sold the 58.6 per cent stake in the subsidiary to Tanzania’s Exim Bank. It was also not immediately clear whether any portion of the sale proceeds will be submitted to the parent Imperial Bank Kenya that is currently under receivership [...]