Tanzania Billionaires Raise KenolKobil Stake to Sh1.5 Billion

Enterprise Television- Tanzania Billionaires Raise KenolKobil Stake to Sh1.5 Billion

With an additional 46.6 million shares in KenolKobil, Tanzanian billionaires Aunali and Sajjad Rajabali become the fourth largest investors in the oil Tanzania Billionaires Raise KenolKobil Stake to Sh1.5 Billionmarketer with a stake valued at Sh1.5 billion.

According to KenolKobil’s latest annual report, they first acquired 30.2 million shares in the Nairobi Securities Exchange-listed firm in 2016 and bought the extra stock last year.

It is gathered that the new shares are valued at about Sh900 million which have raised their stake to 5.22 per cent.

Aunali and Sajjad Rajabali increased investment concurred with a heavy trading of shares among other KenolKobil’s top owners, with institutional investors such as Wells Petroleum and Energy Resources buying or selling tens of millions of shares.

Rajabalis’ new investment in the oil marketer signals their confidence about the firm’s future prospects. However, KenolKobil reported a net profit of Sh2.46 billion in the year ended December, a two percent rise from Sh2.41 billion the year before.

The market capitalization has more than doubled in two years to Sh28.6 billion, ranking KenGen second in the energy and petroleum segment after surpassing Kenya Power.

The company has also provided more than Sh1 billion over the past two years alone to write off receivables from Kenya Petroleum Refineries Limited (KPRL), which delivered less volume of petroleum products to the oil marketer than earlier projected.

Rajabalis buying of more KenolKobil shares has expanded their interests in NSE-listed firms, with the investors holding significant stakes in firms including Co-op Bank and I&M Holdings. They are also major investors in their home market with interests in firms like CRDB Bank Plc.

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