The National Treasury today launched the Kenya Pipeline Company (KPC) Initial Public Offering (IPO) at the Nairobi Securities Exchange (NSE). The transaction – the largest IPO and the first electronic in the capital market’s will see 65 percent of KPC’s issued 11,812,644,350 ordinary shares offered at KES 9 per share at the Nairobi bourse. This opens up ownership of one of Kenya’s most strategic energy infrastructure assets to local, regional, and international investors.
The IPO also includes an Employee Share Ownership Plan (ESOP), under which 5% of the total offer shares are reserved for eligible KPC employees. This enables employees to participate directly in the IPO and aligns their long-term interests with the company’s future performance.
The offer period opens today, 19th January 2026, and is scheduled to close on 19th February 2026, with listing and trading of KPC’s shares on the Nairobi Securities Exchange expected to commence on 9th March 2026. The overall IPO and privatization process is expected to conclude by 31st March 2026, subject to regulatory timelines and applicable approvals.
The IPO represents a major milestone in Kenya’s state-owned enterprises reform agenda and capital markets development, aimed at broadening citizen ownership, strengthening market depth and liquidity, and supporting the Government’s fiscal sustainability objectives.
“We are coming to the market at a time of strong momentum at the NSE, with market capitalization crossing Kshs. 3 trillion in November 2025. This rally demonstrates the depth and resilience of our capital markets to absorb a transaction of this magnitude.”
The launch ceremony, which was officiated by FCPA Hon. John Mbadi, the Cabinet Secretary for the National Treasury, brought together senior Government officials, regulators, market leaders, and private sector executives.
“This IPO is about transforming a wholly-owned state enterprise into a people-owned company. By opening Kenya Pipeline Company to public ownership, we are strengthening the company, deepening our capital markets, and giving Kenyans the opportunity to participate directly in one of the country’s most strategic infrastructure assets. The Government is offering ordinary shares of Kenya Pipeline Company, giving Kenyans and the global investing community a direct opportunity to become co-owners of one of our most strategic national assets,” the Cabinet Secretary added.
Also speaking at the launch, Faisal Abass, Chairman of the Privatization Authority, described the transaction as a defining moment for Kenya’s public sector reform efforts.
“This IPO demonstrates how privatization can be undertaken transparently, competitively, and in the public interest,” he said. “By leveraging market mechanisms and digital platforms, we are ensuring broad access, strong governance, and long-term value creation for both investors and the Kenyan economy.”
The IPO has received regulatory approval from the Capital Markets Authority and the Nairobi Securities Exchange. The offer is open to Kenyan retail and institutional investors, East African Community investors, Oil Marketing Companies, KPC employees, and international investors, in accordance with applicable regulations.
Proceeds from the offer will accrue to the Government of Kenya and will be applied in line with the national budget framework and fiscal policy direction, supporting priority economic and social programmes, strategic infrastructure investments, and fiscal consolidation. Gross proceeds will form part of the Government’s approved financing plan for the 2025/26 financial year, with resources allocated to critical commercially viable infrastructure investment priorities, specifically Energy, Roads, Water and Irrigation, and Airports.
Investors can participate by applying electronically through authorised selling agents, licensed stockbrokers, and the approved digital IPO application platforms during the offer period.
KPC is one of Kenya’s most profitable state-owned enterprises, reporting revenues of Kshs. 38.6 billion and after-tax profits of Kshs. 10.37 billion for the financial year ended 30 June 2025. The company operates a critical petroleum transportation and storage network spanning more than 1,300 kilometres of pipeline infrastructure, playing a central role in national energy security and regional trade.
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