Loss-making telecommunications company Telkom Kenya has put a huge chunk of its multi-billion shilling real estate property up for sale.
The firm which is at the centre of a protracted purchase bid has announced the intended sale of 17 prime properties worth at least Sh1 billion.
The buildings quoted for sale are spread across the country in major cities and towns including Nairobi, Kisumu, Nyeri, Nakuru and Malindi.
Telkom Kenya expects to fetch Sh260 million for the three-storey Kisumu Commercial Building and Sh146 million for a 1.733 acre plot which is partially developed at Embakasi, Nairobi.
A five-storey building in Karatina, Nyeri is also up for sale at the cost of Sh120 million while another building on the Nyeri-Nanyuki Road is quoted for sale at a cost of Sh108 million.
Telkom Kenya has continued to make huge losses despite efforts by its two shareholders to clean up its books.
The operator is jointly owned by the Treasury and France Telecoms, which was in 2007 allowed to buy a majority stake in the loss-making company after undertaking to turn around its fortunes.
Helios Investment Partners is the latest suitor said to be gunning for some or all of the 70 per cent stake in Telkom Kenya owned by France Telecom.
The combination of losses and the drop in revenues has negatively impacted on Telkom’s cash flow, prompting shareholders to pump in more cash and write off its debts