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The Kenya Pipeline Company (KPC) Initial Public Offer (IPO) has raised Sh112.4 billion, making it one of the largest public share offerings ever recorded in Kenya, according to the National Treasury.
The offer placed 11.81 billion shares on sale at Sh9 each, and strong investor interest pushed total applications to 12.49 billion shares, resulting in a 105.7 percent oversubscription. As a result, some investors were allocated fewer shares than they had applied for.
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Treasury Principal Secretary Chris Kiptoo said the overwhelming response highlights increasing confidence among Kenyans in the country’s capital markets.
“This level of subscription underlines growing confidence among Kenyan investors in our capital markets,” Kiptoo said.
More than 70,000 Kenyan investors took part in the share offer.
The government expects to receive about Sh26.7 billion from the IPO after factoring in the portion retained by the company, offer expenses, and other adjustments.
Kiptoo said the funds will be channelled through the National Infrastructure Fund to support major projects such as highways, railways, energy systems, ports, irrigation, and other strategic infrastructure.
The KPC IPO is part of the government’s broader plan to expand public ownership of key national assets while raising capital for long-term infrastructure development, including improvements in transport, energy, and water systems.
Under the share allocation structure, Kenyan investors received 40 percent of the offer, while regional East African Community investors and foreign investors were allocated 20 percent each. The remaining 20 percent was shared between employees and oil marketing companies.
