Slow start for Kenya Pipeline IPO: What you need to know

Key Takeaways

• The Kenya Pipeline Company (KPC) IPO has seen slow uptake, reaching only 10% subscription with two days left before its February 19, 2026, closing date, despite government confidence in a last-minute surge.
• Analysts and investors question the Ksh9 share price, valuing KPC shares between Ksh4 and Ksh6 (Old Mutual Uganda at Ksh4.61), suggesting the current offer is overvalued with limited immediate upside.
• KPC itself presents strong financials, including Ksh163 billion in assets, Ksh7.49 billion profit last year, no debt, a strategic role in East Africa's energy supply, and a pledge to distribute 50% of net profits as dividends.
• The government aims to raise Ksh106.3 billion by selling a 65% stake, structuring the offer to favor local participation with 60% of shares reserved for Kenyan investors and targeting two million retail investors.