Court boosts roll-out of Equity thin SIMs

National Bank seeks high earnings from sale of assets

The National Bank of Kenya has now turned to disposing of its assets as a strategy to boost its profitability, the lender would sell all the 12 branches it owns as part of a plan to raise capital and boost returns.

The buildings sale will not affect the banks operation and accounts for only 12 per cent of the total branch network. The bank seeks KES1.2 billion from the sale of the outlets.

Court boosts roll-out of Equity’s thin SIM

The planned roll-out of Equity Bank’s thin SIM technology got another boost after the High Court lifted orders barring its implementation. Justice George Odunga suspended orders he had granted stopping the launch by Finserve Africa Ltd, a subsidiary of Equity Bank, until a case filed by Kituo Cha Sheria was heard and determined. The hearing of the case filed by Kituo Cha Sheria challenging the thin SIM technology will continue, but stay orders were vacated.

Centum raises KES8.31bn as bond surpasses target

Centum bond offer has been oversubscribed with the listed firm attracting KES8.31 billion, 38 per cent more than the KES6 billion that was initially targeted. The bond proceeds will go towards real estate,
energy, financial services, education, health, ICT, agribusiness and FMCG, the eight sectors that the investment firm is focusing on over the next five years.

Standard Chartered links up with two firms to sell insurance in its bank halls

Standard Chartered has entered bancassurance business as it seeks to diversify its revenue streams. The bank joins a growing list of lenders entering insurance following changes in banking regulations, opening the door for both local and international banks. Standard Chartered has entered into non-exclusive distribution agreements with AIG Kenya Insurance and Pan Africa Life Assurance. The subsidiary will offer general and life insurance products.

Scangroup adopts new name following merger with WPP

Marketing services group Scangroup Limited has rebranded to WPP Scangroup Limited following a merger with WPP plc. The firm said adoption of the new name signifies a shared vision aimed at boosting
the fortunes of both companies. The two companies are now fully together sharing values and core principles for developing marketing communications across sub-Saharan Africa and a laid out framework
on how this can be achieved.

Mumias hit by firewood sellers’ strike over pay

Suppliers of firewood to sugar miller Mumias have gone on strike citing non-payment, hampering the reopening of the miller after a two-week closure. The miller could not start the machines as it had
planned last week because there was no firewood to heat the boilers that produce steam energy to run the factory. The miller is disconnected from the national electricity grid over bills owed to Kenya Power, forcing it to resort to other steam-generating measures.

Kenyan Stock Market

The NSE 20 rose 0.29 percent w/w to close at 4778.63 while NASI index declined by 0.30 percent w/w to close at 162.40

Turnover, total volumes traded and total market capitalization stood at 3,599.84mn 116.59 and KES 2,271.54 respectively at the end of the week.

EAC Markets

Uganda: The USE ALSI and USE LSI edged up by 2.60 percent and 0.19 percent w/w to close at 2,029.51 and 324.92

Rwanda: The RSE ALSI and the RSE RSI declined by 0.04 percent and 0.18 percent w/w respectively to close at 135.81 and 221.68.

Tanzania: The DSE TSI and DSEI rose by 1.63 percent and 1.21 percent w/w to close at 4,808.70 and 2,850.15 respectively

Global markets

The S&P 500 Index fell 0.1 percent to 2,118.59 after rising Thursday to within 0.5 percent of its all-time high. The Dow Jones Industrial Average lost 0.2 percent to 18,084.68. The Nasdaq Composite Index declined 0.2 percent.

The Stoxx Europe 600 Index added 0.3 percent to 385.51 paring gains of as much as 1.2 percent. European stocks climbed on optimism a resolution to Greek talks is close and that the fallout of a potential Greek exit from the euro would be contained.

The MSCI Asia Pacific Index climbed 0.4 percent to 147.05 paring this week’s slide to 0.7 percent.