Browsing: Kenya

Social enterprise firm Sistema.bio, the largest biogas company in Africa, has announced plans to impact 100,000 farmers in Kenya with biodigester technology over the next three years following a successful close of a round of fund raising.

The closure of Serie A Investment round worth KShs 1.2 billion is expected to drive its growth in Kenya. The round was lead by international investors ENGIE RDE, EU Electrifi Fund, AlphaMunid, Triodos-Hivos Fund, Dila Capital, EcoEnterprises and other impact and commercial investors. Sistema.bio Co-Founder and CEO, Alex Eaton noted that Kenya’s focus on food security within the Big Four Agenda creates great opportunities for agricultural investments and clean energy.

“Sistema.bio is assembling the bioidigester technology locally, creating employment opportunities for hundreds of Kenyans, while educating farmers on the use of organic fertilizers in their farms, directly supporting the SDGs and the Big Four Agenda,” said Alex.

With the concerns of rising fuel …

The Retirement Benefits Authority has announced an 8 percent year-on-year increase in the total assets under management by fund managers and approved issuers in Kenya.

According to the recently released RBA Retirement Benefits Industry report for December 2018, 16 fund managers and 15 approved issuers, submitted 1,236 scheme reports with a total fund value of Ksh. 980 billion representing an 8 percent increase compared to the December 2017 values.

The report further confirms that the total assets managed by fund managers amounted to Ksh. 813 billion while the approved issuers managed Ksh. 167 billion at the end of December 2018.

In terms of investments by fund managers and approved issuers, Sanlam Investments East Africa Company Limited (SIEAL) maintained its industry lead as the fund manager with the largest pension scheme assets under management, totaling Ksh. 202 billion which constitutes 20.6 percent of Kenyan pension sector assets.

The RBA report states …

Sub-Saharan hospitality investment platform Kasada Capital Management has reached a first close on its maiden fund Kasada Hospitality Fund LP with equity commitments of over USD 500 million.

This is in line with a first announcement disclosed in July 2018 by Katara Hospitality and Accor who are respectively contributing USD 350 million and USD 150 million. In a region which offers robust growth opportunities, the fund will target both greenfield and brownfield projects.

The hospitality market is currently one of the most promising and yet underserviced sectors in Sub-Saharan Africa where growing economies and emerging middle class are creating high-growth markets that are left largely untapped.

The first platform of its kind in Sub-Saharan Africa, Kasada Capital Management intends to bridge the gap between the local hospitality market players and international investors.

The team is co-led by Olivier Granet (CEO and Managing Partner) a former CEO of AccorHotels Middle East …

Allianz X, the digital investment unit of the Allianz Group, has announced that it has made an undisclosed amount of investment in SafeBoda, an East African based motorcycle hailing company.

Allianz Z, based in Germany referred SafeBoda as a major African ride-hailing platform that also offers various on-demand consumer and payment services in what is the entity’s first investment in an African-headquartered company.

SafeBoda, winner of the 2018 AppsAfrica Award, aims to offer reliable and safe transportation to its customers and its mobile payment platform is an example of digital companies contributing to financial inclusion across Africa.

It started in Kampala Uganda and has seen it expand into Nairobi getting good reception which made established competitors like Bolt (Formerly Taxify) and Uber revisit the manner in which they operated motocycle taxis.

For the Series B investment, Allianz X is co-investing with Go-Ventures, a venture fund whose cornerstone investor is GO-JEK. …

The Kenya shilling is arguably the strongest currency among the East Africa Community (EAC) member states, giving the region’s economic power house a competitive edge over her peers in international trade. 

READ:Here are Kenya’s biggest trading partners

However, the country has been operating a managed shilling than a free float currency, running a risk of making its exports more expensive in the short run as compared to competitors, eventually causing a reduction in export earnings and the economy’s growth, a report by Amana Capital has established.

Amana’s “Kenya’s Economic Puzzle – Putting the pieces together” report highlighted that 10 years ago, the Consumer Price Index (CPI) stood at 97 but has since shot up to 192 to date, meaning what the value Ksh100 (USD0.99) could buy in January 2009 can only buy 50 per cent of that now.

This translates into a 50 per cent devaluation of the purchasing …

Safaricom (NSE: SCOM) has announced plans to double its 4G network coverage to 5000 base stations by March 2020, covering all major towns and 80 per cent of the Kenya population.

The announcement was made by the company CEO Bob Collymore as he released financial results for the year ending  March 31, 2019, which saw net income increase by 14.7 per cent  to Ksh63.4 billion (USD624.9 million ) with revenue hitting Ksh240.3 billion (USD2.4 billion).

“We are pleased with the strong results we have delivered for the year, building on our long track record of delivering relevant products and putting the customer first. We foresee continued growth in the future,” said Collymore.

Safaricom expects to spend over Ksh36 billion (USD354.8 million) in driving up additional 4G coverage, which will see the company roll out an additional 2,030 4G and 4G+ base station to reach more than 80 per cent …

Glovo, one of the world’s fastest growing delivery players has announced a USD169 million Series D funding round, led by international venture capital firm Lakestar, as it plans to expand its operations in Africa.

The start-up, which recently launched in Nairobi, will use this injection of funding to bolster its growth within the Sub-Saharan Africa market.

READ:Investing in Kenya’s logistics space

Priscilla Muhiu, the firm’s head of marketing for Sub-Saharan Africa says the move aims at improving their response to customers.

“Glovo is committed to taking its tech capabilities and systems to the next level. We will use this opportunity to grow our team of tech experts to create a smarter and more efficient experience for customers and reduce waiting time for Glovers,” said Mrs. Muhiu.

“We also intend to expand our footprint across Sub-Saharan Africa, with new operations in Ghana, Nigeria and Tanzania,” she added.

Glovo hopes to …

East African countries are set to attend the ninth East African Petroleum Conference and exhibition to discuss investment opportunities to enhance socio-economic transformation.

This year`s conference is themed:` East African Region – the destination of choice for Oil and Gas Investment Opportunities to enhance Socioeconomic Transformation.`

Chairperson of the organizing committee, Marin Heya said over the weekend that over 1,000 local, regional and international delegates will be attending the three-day conference that will be in Mombasa from May 8.

`The conference will help attract investors on oil and gas into the region given the potential in the region, ` Heya said.

He revealed that the Chinese geo-spatial and survey firm BGP and CNOOC are among the companies that are expected to attend the three-day conference.

The official also stated that the East African Community (EAC) member states, including Kenya, Uganda, Tanzania and Rwanda will exhibit at the conference alongside international …

It targets agricultural,building,construction and waste management sectors in the country

Leading construction and building equipment supplier, Ganatra Plant & Equipment Ltd and NIC bank have partnered to finance purchases of new JCB Back-hoe Loaders in Kenya.

This is in the wake of a credit crunch in the market occasioned by the interest rate cap law, which has lowered the purchasing power of majority of investors.

READ:Why Kenya’s Central Bank has retained minimum lending rate at 9%

The partnership is seeking to reduce the financial load from the customers by offering them flexible financing terms including a cost reduction of 20 per cent.

In the financing partnership signed in Nairobi this week, NIC will offer an 80 per cent financing, thus offering small medium enterprises and corporate organisations the opportunity to acquire the Back- hoe Loader through asset financing.

The move will therefore free up cash that can be directed …

33% of manufacturers in the country plan to reduce the number of full time employees

Only 48 per cent of manufacturers in Kenya have expressed optimism that the sector would grow this year, a latest survey has revealed, as investments in the country continue to face headwinds.

According to the Q1 ‘Manufacturing Barometer’ by the Kenya Association of Manufacturers (KAM),  the biggest worry by industry players over the next six months (61 per cent) is the high cost of  raw materials, which is making their products uncompetitive both locally, regional and in the  international markets.

About 57 per cent are worried about pressure from increased wages, 54 per cent are concerned over decreasing profitability while 48 per cent fear that taxation policies in the country will affect their businesses.

Oil and energy prices which have remained high worries 43 per cent of the surveyed manufacturers in the country, the study …