Centum selling stocks to fund power, real estate deals

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James Mworia, the Centum CEO said it was targeting new investments that would maintain growth momentum.

Kenya’s Centum Investment is working on selling its stakes in several firms to fund new investments in power plants, real estate and other areas, its chief executive said.

James Mworia told the Reuters Africa Investment Summit the company, whose market value has jumped seven-fold over the last five years to Sh40 billion ($438 million), was targeting new investments that would maintain growth momentum.

He did not mention what the sales were, adding that such transactions could take 18 months to complete.

“We have a pipeline of investments in areas with high returns and less competition,” he said, referring to the real estate and energy sectors.

In recent years, Centum moved into real estate, which now accounts for about 30 per cent of its portfolio.

The flagship Two Rivers shopping mall development in Nairobi is worth Sh9 billion and will be inaugurated towards the end of 2015.

The firm has also branched out into power generation with a 20 megawatt (MW) geothermal plant due to start production this year and a 1,000 MW coal-fired plant, due to be completed in three years.