Kenya Pipeline Company Plc (KPC) will pay a first and final dividend of Sh5.9 billion or Sh0.32 per share, for the year ended June 30, 2026 ;if shareholders approve it at the annual general meeting, the board announced on Wednesday, October 14, rewarding investors who bought into the Sh106 billion initial public offering earlier this year. Shareholders on the register at the close of business on November 30, 2026 will qualify for the payout.
The payout also matters for who gets the money. The government sold 65% of the company in the IPO and the offer, which valued the company at about Sh163.6 billion, closed oversubscribed at 105.7%, with local institutions including the National Social Security Fund taking about 41% of the company.
Investors from the East African Community hold about 21.2%, largely through Uganda's national oil company, and the government kept 35%. On a 35% stake, the Treasury would receive roughly Sh2.1 billion from the dividend, by our calculation, although the Treasury has not published a figure.
The company's cash position supports the payout. Cash from operations rose from 34% to Sh17.39 billion, cash and equivalents reached Sh20.54 billion and borrowings fell 83% to Sh442.9 million. The board says it will keep investing in the safety, capacity and resilience of the pipeline and storage network.
The results frame the first full year as a listed company as one of consolidation, with priorities including stronger governance and investor relations, and sharing value fairly between the Government, new shareholders and the public.
The IPO was an offer for sale, which means the Sh106 billion raised went to the government rather than to KPC. The dividend is therefore the main way the company itself returns cash to its new owners. The board must still win approval at the AGM and the date of the meeting has not been announced in the results.
