Shares of the Kenya Pipeline Company traded slightly higher in early session on Tuesday following their debut on the Nairobi Stock Exchange, according to data from LSEG.
At 0715 GMT, the shares were priced at 9.4 Kenyan shillings, slightly above the Initial Public Offering (IPO) price of 9 shillings per share.
The Kenyan government sold a 65% stake in the company, raising 106.3 billion shillings ($823.07 million) in the country’s first major IPO in nearly two decades.
The IPO was oversubscribed, overcoming earlier concerns over potential undervaluation by some banks, an extended offer period, and local reports suggesting investor apathy.
Officials said 15 to 20 billion shillings from the proceeds will be allocated to expand Kenya’s main airport in Nairobi.
With limited fiscal space for tax- or debt-driven development, President William Ruto’s administration has increasingly turned to securitising revenue streams and selling state-owned assets to fund infrastructure and development projects.
