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Tag: CMA

  • Capital A Investment Bank explores news areas for growth

    Capital A Investment Bank explores news areas for growth

    Capital A Investment Bank has identified diaspora remittances, impact financing, green financing and Islamic finance as potential areas for growth after unveiling new identity.

    The investment bank, formerly known as Securities Africa Kenya Limited expects investment from the segments to further solidify its position as a key investment firm in the country.

    “Today, as we unveil Capital A Investment Bank, we are proud to reaffirm our commitment to innovation, growth, and providing unparalleled financial services to our clients. This rebranding marks a significant milestone in our journey, reflecting our expanded capabilities and our dedication to delivering exceptional value for our clients and the Kenyan capital markets,” said Norris Kibe, Capital A Investment Bank.

    The firm currently has a 20.8pc market share in the bonds market as close of September 2024 equivalent to Ksh 55.2 billion.

    “Building and growing the Kenyan capital market is our collective responsibility. This milestone demonstrates Capital A Investment Bank’s leadership and commitment to innovation. We believe that
    Capital A Investment Bank will continue to contribute significantly to the depth and liquidity of our market,” said Frank Mwiti, Nairobi Securities Exchange Chief Executive Officer.

    The rebrand follows the firm being upgraded from a licensed stockbroker to an investment bank by the regulator Capital Markets Authority.

    “This year, we have achieved a significant milestone of 1 trillion trading securities, a testament to the growth and vibrancy of our market. We commend intermediaries and players like Capital A Investment Bank for their contributions to this success,” added Daniel Warutere, CMA Director of Market Operations.

    The firm specializes in offering tailored investment advice across a wide range of financial instruments, including bonds, equities, Eurobonds, and corporate finance.

  • Shareholder wants CMA to investigate Old Mutual

    Shareholder wants CMA to investigate Old Mutual

    Old Mutual Holdings Plc shareholder Joel Kibe has written to the Capital Markets Authority (CMA) to conduct investigations on some of the firm’s transactions and stop further sale of company’s assets.

    Through his lawyers Gichuki Kinga’ra and Co. Advocates, Kibe says the firm has been “highly prejudicial to minority shareholders” in a number of transactions the firm has undertaken.

    According to Kibe who own shares valued at Ksh 246.7 million in the firm, Old Mutual has been disposing of assets contrary to CMA regulations.

    “The company has disposed of assets listed as belonging to Old Mutual Holdings and its subsidiaries without proper disclosure or accounting for the proceeds to shareholders,” he says in the letter.

    In a notice to shareholders dated July 31, 2024, Old Mutual announced completion of the sale of its stake in UAP Insurance Tanzania Limited which took effect from August 1, 2024.

    Last month, High Court in Nairobi issued orders stopping the firm from selling assets in a case against the billionaire investor.

    Mr Kibe has further requested CMA to provide copies of transactional documents regarding the transaction prior to approval of the takeover.

    In the letter, Kibe is accusing the firm of diluting minority shareholders’ stake by nearly 40pc through issuance of preferential shares, securing loans without consulting minosrity shareholders, lack of liquidity, mismanagement and non-payment of dividends.

    Kibe now wants the authority to conduct investigations on the allegations and stop any further dilution of shares through issuance of preference shares without proper consultation and approval.

    In the half year period to June this year, the firm reversed Ks 195 million losses it incurred last year to post a Ksh 327 million net profit.