Stock sales fall sharply over CGT

Turnover at the NSE fell two-and-a-half times Monday compared to Friday amidst reports stockbrokers will go to court over the capital gains tax (CGT).

The bourse traded 12 million shares valued at Sh252 million, down from 20 million shares worth Sh636 million.

Big cap counters that normally provide the bulk of turnover were subdued, with the top-four counters only trading a combined 2.95 million shares.

The NSE 20 Share Index shed 26 points to close at 5177, while the NSE All Share Index (NASI) shed 0.93 points to stand at 165.88 at close.

The top gainers Monday were Uchumi and Mumias Sugar, both continuing to benefit from positive corporate news. Uchumi gained nine per cent to Sh12.75 while Mumias was up 9.4 per cent to Sh3.50.

The retailer has announced plans to open at least nine new outlets in 2015, while the sugar miller has been boosted by news of a possible financial bailout.

“Uchumi Supermarket was up on local investor trading. The (expansion) plans have come at a time when Kenya’s retail market (third fastest growing retail market in Africa) has attracted a lot of interest evidenced by local and foreign retail expansion in the industry,” said Standard Investment Bank in a note.

Among the big caps, Safaricom shed two per cent to close at Sh14.55 a share, while EABL and KCB were unchanged at Sh305 and Sh59 respectively.

Equity Bank was the only gainer among the top four stocks, up 0.9 per cent or 50 cents to Sh52 on 353,500 shares.