Ndindi Nyoro has tightened his ownership at Kenya Power after acquiring 5.2 million new shares.
The Member of Parliament for Kiharu Constituency has now taken his total tally to 32.5 million shares. He was already the largest individual shareholder at Kenya Power.
Regulatory filings as at the end of June 2023 show that Nyoro held a stake of 1.67 per cent in the firm, having raised his shares from the previous 27.29 million shares as at the end of June 2022.
Nyoro’s stake at Kenya Power is now worth an estimated Sh. 48.75 million. Ndindi’s shares as at June 2022 were valued at around Sh. 43.7 million.
“I am buying KPLC shares because I know we can fix issues of electricity when allowed to make decisions. It has a lot of sleeping capitalism which can be used to assist more homes,” said Nyoro.
His view of Kenya Power is that the company is largely undervalued. “The company is valued at less than one per cent of its asset value,” he said.
This is not Nyoro’s first money move at the Nairobi Securities Exchange. He made a name for himself as an investor at the NSE before joining politics. Nyoro founded Investax, an investment firm that was licensed to trade at the NSE.
“I got into buying shares after operating a hotel in the university and doing some business of selling stuff in secondary school to raise school fees and make ends meet,” he said.
Kenya Power shares have largely remained subdued due to the utility company’s poor financial performance.
The companu sunk into Sh. 1.1 billion net loss for the half year ended December, blamed on the weak shilling and the 15 per cent electricity tariff cut that was effected in January 2022 following a directive from the former president Uhuru Kenyatta.
The utility firm said that the tariff reduction saw the basic electricity revenue drop by Sh. 6.69 billion, highlighting the price it paid to deliver discounted prices to consumers.