I attended the Kakuzi AGM and a shareholder told me that he does not buy agricultural stocks like Kakuzi and Rea Vipingo for dividends or capital gains. I am sure he does not throw away the cheques.

He says he keeps these stocks just in case these companies begin to sub-divide the land in the future.

He says as shareholders,we shall be the first to get the acrage shares. Is this true?



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I get it but what happens in the eventulity that the company does not wish to continue its operations. It has paid all its debts and has no more obligations but to shareholders?

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The guy may never have schooled on stocks but very intelligent. He simply means he is part owner of the net asset base of the company,including land and tea bushes or sisal bushes. Besides,he is a farmer and can relate better with agri stocks? how would you explain Scan Group business to him? will he understand? certainly not. What pysical assets does scanG have?

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