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KenGen Shareholders Get Sh1.65bn Windfall

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Energy Principal Secretary Dr Eng Joseph Njoroge (centre), KenGen Board Chairman, Mr Joshua Choge www.businesstoday.co.ke
Energy Principal Secretary, Dr ng Joseph Njoroge (centre), KenGen Board Chairman Joshua Choge (right) and Managing Director & CEO, Mrs Rebecca Miano (left) during the company’s 67th Annual General Meeting. [ Photo / Business Today ]
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Kenya Electricity Generating Company PLC (KenGen) will pay a total dividend of Ksh1.65 billion to its shareholders.

This follows the approval of the Board’s recommendation by shareholders to pay the final dividend of Ksh0.25 for the year for every ordinary share of Ksh2.50.

The shareholders made the decision during the company’s virtual 67th Annual General Meeting (AGM) today. The announcement comes at a time when Kenya and the world at large are facing challenges brought about by the Coronavirus Disease (COVID-19) Pandemic.

Speaking during the AGM, KenGen Managing Director & CEO, Mrs Rebecca Miano, highlighted key business progress the company had made during the period under review. These include two multi-million shillings contracts the company is currently undertaking in Ethiopia, unveiling of the Community Engagement Strategy, expansion of the company’s energy capacity and diversification, which has been instrumental in creating new revenue streams.

KenGen Board Chairman, Mr Joshua Choge, pointed out that the company’s capacity expansion projects will ensure KenGen continued to competitively retain its market leadership.

In 2018, the company paid its shareholder Ksh2.64 billion in dividends which translated to Ksh0.40 for every ordinary share.

During the period ending June 2019, business remained resilient despite challenging economic conditions in the country and globally, the chairman added.

To create more value for its stakeholders, KenGen is focusing on diversification, a strategy that has seen the company earn additional revenues.

During the year ended June 2019, the company’s energy sales grew from 7,989 GWh in 2018 to 8,277 GWh despite the dilution of the market share following new entrants. KenGen’s total revenue grew from Ksh45.30 billion in 2018 to Ksh45.97billion in 2019, leading to a 1.5% growth. 

Additionally, the company is exploring business growth through collaboration and partnership with development agencies.

Next >> SportPesa Returns to Kenya on a New Platform

Written by
BT Reporter

editor [at] businesstoday.co.ke

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