Acheni porojo GoK didn't buy or sell any KCB shares yesterday during the trading period.

Weka yako where you are saying GoK bought shares in KCB yesterday.

Tell @Obiero that...he was the one who came up with that alibaba tale.

Treasury acquires 13.7 million KCB shares in 2015 dividend deal

The Treasury acquired an additional 13.7 million shares in KCB Group KCB in the lender’s dividend deal last year where part of the payout was in the form of the company’s own shares.

The new shares, which have a market value of Sh468.4 million, raised the Treasury’s interest in the country’s biggest bank by assets from the previous 17.31 per cent to 17.53 per cent and cemented its position as the largest single shareholder.

The Treasury’s enlarged stake is disclosed in the lender’s latest annual report.

The government was among the few institutional investors that opted to receive half of the Sh6 billion total dividend — declared for the year ended December 2015 — in shares.

KCB offered a payout of Sh2 per share, with Sh1 per share in cash and Sh1 per share in stock at the conversion price of Sh38.

Reject option
Investors had the option to reject the share allotment plan and apply for an all-cash dividend.

The Treasury and other shareholders took up a total of 40.8 million shares in what is technically known as a scrip dividend, a move that led to a 1.3 per cent dilution of those who snubbed the stock offer.

The National Social Security Fund (NSSF), the second-largest shareholder with a six per cent stake, was among investors who elected to receive their entire dividend in cash.

KCB saved Sh1.5 billion in the scrip dividend, a move that helped to boost its capital position.

Cash reserves
The lender, however, raised its dividend payout for the year ended December 2016 to a record Sh3 per share or an aggregate of Sh9.1 billion, citing adequate cash reserves.

The Treasury’s participation in the scrip dividend signals its confidence about the lender’s future prospects.

Mombasa-based billionaire family, the Bablas, however disappeared from the list of KCB’s top shareholders after trading 47 million shares that would currently be valued at Sh1.6 billion.

The capping of interest rates starting September last year has dimmed the profitability outlook for banks that reported double digit earnings growth in previous years.

I get it

ask karasinga

32-33 floor for the pullback

Thanks.

I am looking into major resistance and support after the rate cap (see the circled points on the chart and corresponding arrows pointing on the RSI momentum..The share was on a downward trend until after just before Oct 6th when attempts are made towards Ksh 30 resistance (weak momentum on the RSI).A stronger and longer second attempt from 31st Oct to Nov and a retest of the all rate cap low (Ksh 23) somewhere in Feb 2nd..The second retest doesnt touch 23 but touches 24 on 24th Feb (Bullish trend set)..The next pullback is shallow at 25 confirming support is fully set at 24-25 levels (But for a nasty election or unforeseen circumstances,these levels will not touch again in this CYCLE).
Ksh 30 is taken in March and prices touches the pre rate cap price of 32-33 before having a shallow pullback (Circled)with a low of Ksh 31..Ksh 30 never prints..Price hits 35 with on an extremely overbought RSI,high volumes check in (RSI momentum strongest since rate cap) and correction follows.

Today price closes with a hanging man candlestick showing bears could not dig below 33..Will be watching how the weak closes but Ksh 30-31 is already a support and i expect 32-33 (The pre rate cap prices to be defended)

@Karasinga..Kindly give your explanation..We all learning

http://www.businessdailyafrica.com/news/IMF-pressure-Kenya-interest-rate-cap/539546-3890742-sc66p0z/index.html

@Ericsson i see your 53/- coming sooner than later