The Kenyatta family, known as one of Kenya’s wealthiest families and the country’s leading landowners, has recently experienced a significant loss in the value of their stake in the NCBA Group.
In less than three weeks, the family has witnessed a staggering decrease of $8.14 million in the market value of their stake in the financial services conglomerate.
The decline in the shares of the NCBA Group has been the main reason behind this loss. Data tracked by Who Owns Africa reveals that the Kenyatta family’s stake in the NCBA Group has plummeted by Ksh1.16 billion ($8.14 million) over the past 19 days. This decrease in the market value of their stake has been a result of investors reducing their stakes in the company.
Headquartered in Nairobi, the NCBA Group is a prominent financial services conglomerate that operates across several countries, including Tanzania, Rwanda, Uganda, and Cote d’Ivoire. It was established in 2019 through the merger of NIC Bank Group and Commercial Bank of Africa Group. The Kenyatta, Merali, and Ndegwa families are among the partial owners of the company.
In the case of the Kenyatta family, their ownership in the NCBA Group comes through their late father’s estate, Jomo Kenyatta. They possess an impressive 13.2-percent stake in the company, which is equivalent to 217,497,023 ordinary shares. However, the decline in the value of the NCBA shares on the Nairobi Securities Exchange has resulted in significant losses for the family.
Since August 4th, the NCBA shares on the Nairobi Securities Exchange have declined by 12.83 percent. They have dropped from Ksh41.70 ($0.2885) on August 4th to Ksh36.35 ($0.2515) at the time of writing. This decline in share value has led to substantial monetary losses for shareholders, including the affluent Kenyatta family.
The loss of $8 million in just three weeks is certainly a significant setback for the Kenyatta family. However, it is worth noting that investment values can fluctuate, and the stock market is known for its volatility. While this decline in value may be concerning, it is not indicative of a long-term trend or the family’s overall financial standing.
It is important to remember that the Kenyatta family, with their extensive land holdings and various other assets, remains one of Kenya’s wealthiest families. They have made significant contributions to the country’s economic development and continue to play an active role in various sectors.
Due to a significant decrease in the group’s share price, the market value of the leading landowners’ stake has experienced a substantial decline. Over a span of 19 days, it decreased from Ksh9.07 billion ($63.41 million) on Aug. 4 to Ksh7.91 billion ($55.28 million) at present, resulting in a loss of Ksh1.16 billion ($8.14 million).
Nonetheless, despite this recent setback, it is important to note that the family remains one of the wealthiest investors on the Nairobi Securities Exchange and continues to be recognized as one of the most prosperous families in East Africa.
As with any investment, there are risks involved, and market fluctuations can impact even the most successful and affluent individuals. While the loss of $8 million may be significant, it is crucial to consider the family’s overall portfolio and long-term financial strategy.
In conclusion, the Kenyatta family has experienced a substantial loss of $8.14 million in the market value of their stake in the NCBA Group. This decline is a result of the decrease in the shares of the financial services conglomerate. However, it is essential to view this loss in perspective and consider the family’s overall financial standing and investment portfolio.
