Dangote Group founder and Chief Executive Officer Aliko Dangote said his company bought a stake in Kenya Pipeline Company (KPC), confirming its role in a KSh42.5 billion transfer of 24.76% of the pipeline operator.
At a London event Wednesday, Oct. 21, Dangote said his company had bought the stake, Reuters reported. The exchange's daily-trades disclosure, cited by Business Daily, showed 4.5 billion shares changing hands Monday, Oct. 19, for KSh42.5 billion. The block equaled 24.76% of KPC, while Dangote described his holding as 25%. He did not identify the specific company in his group that acquired the shares.
President William Ruto said Tuesday, Oct. 20, that private investors had bought a 25% stake from public entities, Reuters reported. He did not name the buyers. Dangote said the stake would help his company move petroleum products through the network.
Kenya offered 65% of KPC through an initial public offering earlier in 2026. The official results showed KSh112.37 billion in subscriptions, a 105.7% subscription rate, meaning demand exceeded the offer by 5.7%. The offer opened Jan. 19 and closed Feb. 24; official results scheduled trading to begin March 10. Reuters described the IPO as Kenya's first major state share sale in two decades and said the government was seeking revenue amid limited fiscal space.
KPC lists 1,342 kilometers of pipeline infrastructure and annual capacity of about 14 billion liters. The company says its system moves petroleum products from Mombasa to inland markets.
Reuters and The Associated Press reported that a groundbreaking ceremony for a planned refinery in Lamu took place Sept. 30, with Dangote and Kenyan officials in attendance; the facility is designed for daily processing of 700,000 barrels of crude oil. Separately, the Financial Times reported that Dangote plans to invest $1.5 billion to expand KPC's pipeline network.
