The government is offering 65% of Kenya Pipeline Company’s shares at Sh9 each in a landmark e-IPO at the Nairobi Securities Exchange (NSE), the largest initial public offering in Kenya’s history and the first to be conducted fully electronically.
The offer opens ownership of one of the country’s most strategic energy assets to local, regional, and international investors, with 5% of the shares reserved for employees under an Employee Share Ownership Plan (ESOP).
The IPO closes on February 19 2026, with KPC’s shares expected to start trading on March 9, 2026.
The National Treasury officially launched the IPO on Monday, January 19, 2026, marking a major milestone in Kenya’s state-owned enterprise reform programme and the development of its capital markets.
Under the transaction, 65% of KPC’s issued 11.8 billion ordinary shares are being offered to the public, opening up a company long regarded as a cornerstone of national energy security to broader public ownership.
Treasury Cabinet Secretary John Mbadi said the listing represents a shift from full state ownership to a people-owned enterprise.
“This IPO is about transforming a wholly-owned state enterprise into a people-owned company,” Mbadi said. “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 IPO comes at a time of renewed confidence in Kenya’s capital markets, with NSE market capitalisation surpassing Sh3 trillion in November 2025.
“We are coming to the market at a time of strong momentum at the NSE,” Mbadi noted, adding that the rally demonstrates the market’s capacity to absorb a transaction of this scale.
Privatisation Authority Chairman Faisal Abass described the offer as a defining moment for public sector reforms.
“This IPO demonstrates how privatisation can be undertaken transparently, competitively, and in the public interest,” Abass 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 NSE and is open to Kenyan retail and institutional investors, East African Community investors, oil marketing companies, KPC employees, and international investors.
Proceeds from the offer will accrue to the government and be applied in line with the national budget framework, supporting priority economic and social programmes as well as strategic infrastructure investments.
KPC is among Kenya’s most profitable state-owned enterprises, reporting revenues of Sh38.6 billion and after-tax profits of Sh10.37 billion for the year ended June 30, 2025. The company operates more than 1,300 kilometres of pipeline infrastructure, playing a central role in national energy security and regional trade.
