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Robert Kirubi and Mary-Ann Musangi, the heirs of Kenyan multimillionaire businessman Chris Kirubi, have experienced a significant increase of more than $1.4 million in the market value of their stake in Kenya’s largest listed investment firm, Centum Investment.
With a robust investment strategy focused on real estate and private equity assets in various sectors including consumer goods, financial, agribusiness, and power, Centum Investment has established itself as a leading investment firm in East Africa. The company has consistently delivered value to its shareholders, a legacy that continued until the demise of Kirubi in 2021.
Before his passing at the age of 80, Kirubi, a distinguished Kenyan businessman and prolific investor, held a substantial 31-percent stake in the investment firm.
This stake is now jointly owned by his son, Robert Kirubi, and daughter, Mary-Ann Musangi, who inherited 80 percent of his wealth, which included holdings in Centum, KCB Group, Haco Industries, Bendor Estate Limited, and other businesses.
Since the start of 2023, the market value of their joint stake in Centum has increased by Ksh181.2 million ($1.43 million), with the stake rising from Ksh1.68 billion ($13.4 million) on Jan. 1 to Ksh1.87 billion ($14.8 million) on Feb. 22.
This $1.4-million bump can be linked to buying interests among investors on the Nairobi Securities Exchange, which has driven the market price up by 10 percent, from Ksh8.2 ($0.065) to Ksh9.08 ($0.072) at the time of writing.
Centum’s bold move to repurchase 10 percent of listed shares sparks surge in stock price
Centum’s strategic move to buy back 10 percent of its listed shares at a significant cost of Ksh600.5 million ($4.84 million) has resulted in a substantial surge in its share prices.
The company has also embarked on a proactive plan to repay its dollar-denominated loans in a strategy that is aimed at mitigating the financial impact of the weakening Kenya shilling on its earnings.
Despite Centum’s persistent efforts to restructure its balance sheets and minimize interest payments on its debt, the company’s financial performance has yet to recover since the demise of its prominent Kenyan tycoon.
As a result of declining revenues and escalating finance costs, the company has incurred a net loss of Ksh1.55 billion ($12.6 million) at the end of the first half of its 2023 fiscal year, with unrealized foreign exchange losses being the primary contributor.
