Because their stated goal was capital gain and the compensation plan was structured to reward just that (see pg 114 of the annual report). Centum has been up-front and consistent with how they pay. If you don't like it: (a) don't invest, (b) go to the AGM and speak against it, or (c) buy a controlling stake and change the policy.

As for your first statement, Kirubi is the largest shareholder of the company and Mworia is in the top 10. Why would they run a company that they largely own into the ground? If they were going to do that, they wouldn't keep acquiring larger and larger stakes.

You see a problem with this in Centum but not Kengen?

@The Great
Where is the problem in kengen

@researchfirst
When the company starts going south and the major investors who you are talking about here (Chris Kirubi and James Mworia) dump their shares you wouldn't know.
By the time you will be knowing it will be too late and the shares will be worthless.
Owning the shares is not a problem; problem is asset stripping through fictitious targets and ripping off shareholders.
Compare centum and safaricom.
Safaricom is zero debt, centum debt in excess of 17bn.
Return to shareholders incomparable

Didn't Mworia use that money to buy Centum shares?
http://www.businessdaily...4/-/fkv6cp/-/index.html
"Centum’s chief executive James Mworia has acquired four million shares worth Sh207.4 million in the investment company, breaking into the list of the firm’s top 10 shareholders."

You confuse logic with emotion.

I remember Mworia saying that he would acquire more of centum shares even at a price of shs. 100 bob. He said this when the share was trading at 86 bob. I regret not boarding this bus at shs. 11bob despite my broker advising that i do so

His shares now worth about 187M (4M*43sh). So what happens when you con guys off 1B?Plus he could easily exit.The books don't make sense!They live off revaluation gains!

Don't invest in Centum, work at Centum

Most blue section wazuans are just haters!!

The boy surely deserves it given the way the company's asset base/networth/ profitability has risen over the last 8 yrs;

'Under Mr Mworia’s tenure, Centum has increasingly shifted its investments to large scale projects that have generated massive realised and unrealised gains.
This has added billions of shillings to the book value of Centum – which avoided paying dividends for years — even as it allowed the executives to pocket millions of shillings in bonuses.
The company in the year ended March, for instance, booked a Sh5.1 billion gain in its property investments led by the Two Rivers Mall, which it says now has an implied value of Sh23 billion based on the price paid by new equity investors in the shopping complex.
When Mr Mworia was appointed Centum’s chief executive in October 2008, the company was largely a passive investor in listed and private companies, including General Motors East Africa, ARM Cement, and Coca-Cola bottlers.'