Monday, February 06, 2006
Every investor I know is interested, setting money aside, and eagerly awaiting to buy Kengen shares - and time and again, investment bankers, government officials, and institutional investors have expressed sentiments that this will be the biggest IPO in Kenya’s history
But now the Sunday Standard has reported that the IPO will may lock out anyone who can't buy a million shares - which is contrary to earlier expressions on the part of the government that the IPO would be as fair as possible and be allocated to as many investors.
I don’t read political mischief in this, but it appears that Kengen is a can’t lose investment – and whoever gets the shares at say 20/= will immediately flip them on at the market price (say 100+ shillings) earning a substantial profit (and with no capital gains tax in Kenya, huge profits will be made). Still I am hoping that the controversial clauses may be removed to enable us small investors, who can't afford a million shares, to get a chance at the NSE's version of Goggle