Markets & Finance

UK logistics firm raises Sh450m from Kenyans

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Atlas Logistics chief executive officer Carl Esprey. PHOTO | DIANA NGILA

Atlas Development, a logistics firm, has raised Sh450 million from Kenyan investors ahead of its cross-listing on the Nairobi Securities Exchange (NSE) on Wednesday.

London-listed Atlas raised the money by selling a 10 per cent stake solely to local investors through a private placement handled by Burbidge Capital.

The firm’s management said the offer was taken up by local investors seeking to diversify into the oil and gas industry, an area where Atlas Development operates, offering support services to exploration firms.

“This support for our strategy from the Kenyan investment community has been driven by a robust financial performance and an upswing in revenues over recent months,” said chief executive Carl Esprey in a statement.

Mr Esprey said the cross listing in Kenya will provide investors with a unique opportunity to gain exposure to the sector in the East African region, which continues to provide significant opportunity for considerable growth in the near term.

READ: London firm seeks Nairobi listing as it eyes oil boom

The logistics firm sold 39.2 million shares at Sh11.50. Corporate finance analysts agreed the listing on the NSE’s Growth Market Enterprise Segment will provide the market with welcome access to the transportation and logistics industry.

“Hopefully we can now get a section on purely logistics,” said Johnson Nderi, corporate advisory and finance manager at ABC Capital.