NAIROBI, Kenya-The National Treasury has announced plans to offload 65 percent of the government’s shareholding in the Kenya Pipeline Company (KPC) through an Initial Public Offering (IPO) slated for September 2025.
This forms part of a wider strategy to revitalize Kenya’s capital markets and attract private investment by opening up state-owned enterprises to public ownership.
The planned sale, confirmed by the Treasury, will make KPC the first major parastatal to be listed under President William Ruto’s renewed push for privatization.
The government expects the listing to unlock capital, enhance operational efficiency, and position KPC as a competitive regional energy infrastructure player.
In a recent announcement at the London Stock Exchange, President Ruto revealed that Kenya would pursue a series of IPOs for key public assets.
“We have made a strategic decision to broaden Kenya’s stock market appeal by earmarking key state assets for privatization through IPOs at the NSE,” he said.
“This will offer investors a unique opportunity to deploy capital in one of our most strategic infrastructure enterprises.”
The Cabinet approved the inclusion of KPC in the privatization pipeline on July 29, 2025, under the framework of the Privatization Act, 2023.
The Act mandates that state firms earmarked for IPOs must undergo regulatory and Cabinet-level review before finalization.
The full 65% stake would exceed that minimum, signaling the government’s commitment to reducing its operational role in commercial sectors.
KPC, which manages the country’s critical fuel pipeline infrastructure, has remained profitable but underutilized.
Analysts believe that opening it up to private capital will improve governance, innovation, and service delivery similar to the transformation witnessed in firms like Safaricom, KenGen, and KCB after their partial privatizations.
President Ruto’s administration has identified more than 10 state corporations for similar listings or partial asset disposals, including the Kenya Literature Bureau, New Kenya Cooperative Creameries, and the Kenya Meat Commission.
The listing is expected to take place on the Nairobi Securities Exchange (NSE) before the end of the third quarter, making it one of the biggest IPOs in Kenya’s history.
