Kenya Power has breached the terms attached to Sh59.96 billion worth of its short-term and long-term loans, signalling a biting cash crunch at the State-owned electricity distributor.
The firm, whose total borrowings were Sh113 billion as at the end of June, breached debt covenants for Sh49.99 billion long-term loans and Sh9.98 billion short-term debt, prompting auditor general Edward Ouko to qualify its financial statements.
Commercial borrowings were from Standard Chartered Bank (Sh51.48 billion), Equity Bank (Sh7.38 billion), First Rand Bank (Sh10.89 billion) and Stanbic bank (Sh2.08 billion).

https://www.businessdail...74874-ov943nz/index.html

Ching ching kading ding...

Patel making moves...

[quote=Ericsson]Kenya Power has breached the terms attached to Sh59.96 billion worth of its short-term and long-term loans, signalling a biting cash crunch at the State-owned electricity distributor.
The firm, whose total borrowings were Sh113 billion as at the end of June, breached debt covenants for Sh49.99 billion long-term loans and Sh9.98 billion short-term debt, prompting auditor general Edward Ouko to qualify its financial statements.
Commercial borrowings were from Standard Chartered Bank (Sh51.48 billion), Equity Bank (Sh7.38 billion), First Rand Bank (Sh10.89 billion) and Stanbic bank (Sh2.08 billion).

https://www.businessdail...4874-ov943nz/index.html[/quote]

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The company has started talks with its bankers to change the short term loans to long terms.This is to ease financial constraints.According to MD Jared Otieno

At the current mkt situation a rights issue will be a big flop.
Kanguangodo said it will take 5 years to stabilize kenya power.
Watu wangoje hadi 2023

Government parastatals the biggest debt defaulters, hawalipi bill ya stima