Browsing: NSE

• Fixed-income securities are a broad class of very liquid and highly traded debt instruments.
• Data shows that the average turnover of Kenya’s bond market is over $4.55 billion, and NSE and EABX are now vying for this market share. 
• The choice to merge OTC and onscreen trading will allow market players a flexible way to execute trades on the bond market.

The Nairobi Securities Exchange will soon offer a secondary bond market that combines both onscreen and Over-the-Counter (OTC) trading of fixed-income securities following regulators’ approval. Capital Markets Authority approved amendments to NSE Fixed Income Trading Rules.

In the amendments, Kenya’s capital markets regulator licensed the East African Bond Exchange (EABX) to operate an over-the-counter (OTC) trading platform, likely to drive up competition in the bonds market. An OTC market is a platform that facilitates transactions between traders without requiring them to go through an official securities exchange.

NSE Chief …

• In 2023, a significant investor sell-off led to a $15.5 million (KSh4.2 billion) decline in the Kenya stock market.
• During the review period, Safaricom’s market valuation declined, attributed in part to prolonged and price-agnostic portfolio outflows by foreign investors in favor of dollar-denominated assets.
• Utility Umeme Limited recorded the highest valuation gains throughout 2023, registering an impressive 115.6 percent return.

Nairobi Securities Exchange-listed firms, including Safaricom PLC, British American Tobacco (BAT), and Cooperative Bank, emerged among the top counters experiencing the highest investor sell-off in 2023, a new trading report reveals.

Over the past year, a consistent trend of investor flight led to the Nairobi Securities Exchange (NSE) witnessing a drop of $15.5 million (KSh4.2 billion) in the value of shares traded on the bourse

The 2024 outlook report by AIB-AXYS Africa Investment indicates that despite some firms, such as Safaricom, recording improvements in share prices towards the end …

• The Nairobi Securities Exchange (NSE) Share Value dropped from from US$60.3 million in September 2022 to US$33.3 million in September 2023.
• The NSE 20 Share Index also declined from 1,718 points in September 2022 to 1,508 points recorded in September 2023.
• Nairobi bourse hit by turbulence as investor sell off persisted in favour of other lucrative markets in the nine months to September 2023.

The Nairobi Securities Exchange took a hit in the past year losing US$26.9 million (KSh4.2 billion) in the value of shares traded to reach US$33.33 million (KSh5.2 billion).

Latest data contained in the Quarterly Gross Domestic Product Report released by Kenya National Bureau of Statistics (KNBS) shows that despite the drop, the number of shares traded recorded a rise.

The review period saw the Nairobi bourse hit by turbulence as investor sell off persisted in favour of other lucrative markets, this saw NSE ranked the worst …

• The first index which comes into effect immediately is the NSE 10 Index. This will monitor the performance of Safaricom, and lenders Co-op, Equity and KCB.
• It will also monitor KenGen, EABL, Kenya Re, Absa, Centum and NCBA Group stocks, which complete top ten listed firms. 
• The bourse has also unveiled the NSE-BI which is set to launch on October 1. The new index will focus on the bond market.

The Nairobi Securities Exchange (NSE) will track the performance of its top ten listed firms and monitor the bond market using two new market indices. The first index, which comes into effect immediately, is the NSE 10 Index. This will monitor the performance of the equities of telco Safaricom, and lenders Co-op Bank, Equity and KCB.

It will also monitor the equities of KenGen, EABL, Kenya Re, Absa, Centum and NCBA Group which complete the set of top …

• TransCentury Group Plc (TC)’s rights issue commenced trading on Thursday morning at the Nairobi Securities Exchange (NSE).
• TC shareholders have until January 23, 2023 to take up 1.87 million new ordinary shares 
• The firm is seeking to raise Sh 2 billion which will be directed towards recapitalizing the business, reducing debt and unlocking working capital.  

TransCentury Group Plc (TC) shareholders have until January 23, 2023 to take up 1.87 million new ordinary shares as rights issue commenced trading on Thursday (29th December, 2023) at the Nairobi Securities Exchange (NSE). 

The infrastructure investment firm is seeking to raise Sh 2 billion which will be applied towards recapitalizing the business, reducing debt and unlocking working capital for TC’s underlying businesses.

TC Group Chief Executive Officer Nganga Njiinu said the company has strengthened its governance structures reassuring shareholders as it strives towards profitability. 

“Our shareholders taking up their rights will be investing in …

NSE market update: On Wednesday, Sep 7, investors proved their confidence in Kenya’s new president William Ruto as the Nairobi Stock Exchange (NSE) shot through the roof to record the highest single day raise in over four and a half years.

Local media confirmed the NSE market gained Sh102.6 billion describing the leap as ‘the biggest single-day jump in four-and-a-half years.’ This jump comes in the wake of settling election dust that saw the NSE stumble, fall and now, rise up again.

Sector pundits and political analysts agree that this huge gain is a clear signal of investor’s confidence in the fifth president of Kenya.

In fact, the last time the NSE scored a similar single-day gain was way back in 2018 when there was an almost mirror effect of the political situation. Back then, the NSE market had all but collapsed during the election turmoil but as soon as …

The Kenyan stock market resumed Wednesday following the general election break with a $268 million gain, as early results revealed a close contest involving Deputy President William Ruto and former Prime Minister Raila Odinga.…

Interesting market developments encircled WPP ScanGroup in this review period. The counter’s share price has been on a rally albeit a sharp decline in its bottom line (-1,191.1% y/y) in the just-released FY20 results.

The uptick – that comes after a sequential diminution – is on the back of the exoneration of the suspended senior management that boosted investor confidence given the fact that there was no adverse effect on the counter’s financial performance, position and/or operations linked to the aforementioned. We opine that the rally will continue in the near term to 2Q21 levels as investors accumulate on the earlier exited positions.…

Equity’s operations in the DRC now constitute 28 per cent of the Group by asset size signalling the company’s positive sentiment on the future outlook of the country. By virtue of the acquisition, Equity also became the largest bank by asset size at the Nairobi Securities Exchange (NSE).
Banking penetration in the DRC ranks at the bottom of regional peers, with only 6 per cent of the population holding a bank account. This presents a great opportunity for the Equity Group to leverage on its digital platform and inclusive products to penetrate the market and generate high returns. …

Kenyan-based lender Family Bank Limited has officially rang the bell to mark the listing and the commencement of trading of its corporate bond at the Nairobi Securities Exchange (NSE).

The country’s Capital Markets Authority gave a nod to list the first tranche of its Medium Term Note under the Fixed Income Market Segment at the NSE after a successful offer that raised a total of US$40.6 million against a US27.8 million target, marking a subscription of 147.3 percent.

Early in June, the Authority allowed the mid-tier lender to issue an US$74.1 million multicurrency Medium Term Note (MTN) programme in tranches.

“The response that this bond has generated demonstrates the confidence the market has in the Family Bank brand despite constrained liquidity in the money market as evidenced by the tough economic environment due to the COVID-19 pandemic,” said Family Bank Chief Executive Officer Rebecca Mbithi.

“The capital raised will definitely …