Kenya Airways To Have Executive, Boardroom Changes

Kenya Airways is set to have a complete overhaul of its board of directors and top management, a prospect that has led to heavy speculative trading on the counter at the Nairobi Securities Exchange(NSE).

Out of the ordinary volume buys have been recorded on Kenya Airways(KQ) counter at the Nairobi bourse, following news that a new leadership team is about to be appointed and that the airline, which has been a perennial loss-maker, may be finally turning the corner.

Analysts observe the huge interest at KQ counter, similar to that already witnessed in Uchumi and Eveready, both benefiting from turnaround narratives that is filtering into the market.

Heightened activity and investor interest in Kenya Airways follows news that President William Ruto is set to implement a major shake‑up at Kenya Airways (KQ) this week, appointing a new board and leadership team.

This move is seen as a clear signal of the government’s intent to reset governance and position Kenya Airways for a strategic turnaround.

Kenya Airways is seeking for a strategic partner

The Kenya Government has been actively seeking external investors capable of revitalising KQ, while also making changes to the Kenya Airways management and board, including the recent appointment of Esther Koimett as Non-Executive Director at KQ Board

While official sources have refrained from confirming specific parties — largely to mitigate insider trading concerns — investor interest is very real and longstanding.

Debt and restructuring pressures that includes mounting losses and a need for recapitalisation makes external strategic partnerships not just desirable but essential for the sustainability of Kenya Airways.

The new leadership team at KQ paves the way for operational reforms, making the airline more attractive to serious investors.

The shake-up is a preparatory step towards potential equity partnerships. With investor interest already present behind the scenes, this signals a clear path toward strategic participation without disrupting market integrity.

While official confirmations remain cautious, market watchers view the unfolding changes as a signal that the government is moving decisively to unlock KQ’s long‑anticipated potential.

KQ has not had a substantive Board of Directors Chairman following the retirement of Michael Joseph, former CEO and Board Chairman, Safaricom.

Following a string of losses, the Airline has also seen the exit of Allan Kilavuka as the Chief Executive Officer, replaced by George Kamal in an acting capacity.

While details are still scanty, Kenya Airways has attracted interest from Temasek Holdings, State investors from Singapore and Qatar Airways, an airline that is owned by the Qatar Government. The two state-owned agencies are seeking to secure a deal with Kenya’s national carrier.

KQ, which has been struggling after a loss-making streak for decades, is seeking for different solutions for its problems, with the ultimate decision resting with the Kenya Government.  With the impending leadership changes, the Government appears determined to seek for a strategic investor, who now appears to be demanding certain concessions before inking the deal, including having a new team at KQ.

Temasek Holdings is proposing to acquire a 90% majority stake in KQ through a fresh capital injection, leaving the Kenya Government with a minority stake of 10%.

Qatar Airways, on the other hand, wants to sign a comprehensive management agreement, involving the airline bailing out KQ and supporting a new restructuring plan that will involve new investments, potentially receiving compensation through a share of future profits and exclusive management of Jomo Kenyatta International Airport(JKIA).

While the Singapore authority has denied entering into any negotiations with the Kenya Government over the KQ deal, this does not mean it has not submitted any bids. Many see this move as a mitigation strategy to keep details private until the best bid is agreed upon, Benchmark NCBA style,” said Maina.

The Kenya Government, meanwhile, said to be reviewing both proposals in addition to having formal and informal discussions, weighing the benefits of retaining national control against the need for strategic investments and expertise.

After a brief recovery, KQ plunged back into a KSh 12.15 billion half-year net loss in 2025, with its balance sheet still littered with negative equity and huge debts.

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