Centum Investments

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Centum Investment Company Plc
Public Limited Company
Traded as KN: ICDC
USE:CENT
IndustryInvestments
Founded1967
Headquarters Nairobi, Kenya
Key people
[2]
ProductsPrivate Equity, Real Estate Development, Agribusiness, Publishing, Banking, Power Generation, Beverage Distribution etc
RevenueIncrease2.svgAftertax:US$10.3 million (KES:1.041 billion) (FY:2017/2018) [3]
Total assets US$655+ million (KES:66.1 billion) (March 2018) [3]
Number of employees
176 (2018) [4]
Website www.centum.co.ke

Centum Investment Company Plc, commonly known as Centum is a public East African investment company. It operates as an affiliate of the Kenyan government-owned Industrial and Commercial Development Corporation (ICDC).

East Africa Eastern region of the African continent

East Africa or Eastern Africa is the eastern region of the African continent, variably defined by geography. In the United Nations Statistics Division scheme of geographic regions, 20 territories make up Eastern Africa:

An investment company is a financial institution principally engaged in investing in securities. The investment company pooled the money to invest in securities. These companies were regulated by the SEC and must be registered under the Investment Company Act of 1940. company whose main business is holding and managing securities for investment purposes. Investment companies invest money on behalf of their clients who, in return, share in the profits and losses.

Kenya republic in East Africa

Kenya, officially the Republic of Kenya, is a country in Africa with 47 semiautonomous counties governed by elected governors. At 580,367 square kilometres (224,081 sq mi), Kenya is the world's 48th largest country by total area. With a population of more than 52.2 million people, Kenya is the 27th most populous country. Kenya's capital and largest city is Nairobi while its oldest city and first capital is the coastal city of Mombasa. Kisumu City is the third largest city and a critical inland port at Lake Victoria. Other important urban centres include Nakuru and Eldoret.

Contents

Overview

Centum is a publicly owned investment company with headquarters in Nairobi, Kenya. Its shares are listed on the Nairobi Securities Exchange (NSE), where they trade under the symbol: ICDC. [5] The company shares are also cross-listed on the Uganda Securities Exchange (USE), where they trade under the symbol: CENT. [6] Centum is an investment channel providing investors access to a portfolio of inaccessible, quality, diversified investments.

Nairobi City in Nairobi County, Kenya

Nairobi is the capital and the largest city of Kenya. The name comes from the Maasai phrase Enkare Nairobi, which translates to "cool water", a reference to the Nairobi River which flows through the city. The city proper had a population of 3,138,369 in the 2009 census, while the metropolitan area has a population of 6,547,547. The city is popularly referred to as the Green City in the Sun.

Nairobi Securities Exchange Stock Exchange, Former constituted as Nairobi Stock Exchange, located in Kenya

The Nairobi Securities Exchange (NSE) was established in 1954 as the Nairobi Stock Exchange, based in Nairobi the capital of Kenya. It was a voluntary association of stockbrokers in the European community registered under the Societies Act in British Kenya.

Uganda Securities Exchange Stock exchange located in Kampala, Uganda

The Uganda Securities Exchange (USE) is the principal stock exchange of Uganda. It was founded in June 1997. The USE is operated under the jurisdiction of Uganda's Capital Markets Authority, which in turn reports to the Bank of Uganda, Uganda's central bank.

Centum's mission is to create real, tangible wealth by providing the channel through which investors access and build extraordinary enterprises in Africa. as of March 2018, total assets were valued at KES:66.1 billion. [7]

History

ICDC was founded in 1954 as a government parastatal, whose primary objective was to provide a vehicle for Kenyans to invest in the economy of newly independent Kenya by investing in Kenyan companies. In 1967, ICDC formed the subsidiary ICDC Investment Company Limited, whose shares were listed on the NSE.

In 1998, with the Government of Kenya having sold some of its majority shareholding, ICDC Investment Company adopted a new management structure, handing over day-to-day management to an independent professional managerial team, supervised by an independent board of directors elected by the shareholders.

Government of Kenya

The Government of the Republic of Kenya (GoK) is the national government of the republic of Kenya which is composed of 47 Counties, each county with its own semi-autonomous governments. The national government is composed of three arms: the legislature, the executive and the judiciary. Each arm is independent of the other and their individual roles are set by the Constitution of Kenya. The full name of the country is the "Republic of Kenya". Its official Swahili name is 'Jamhuri ya Kenya'. Other terms such as GoK, GK and Serikali are popularly used to refer to the Kenyan government.

In 2008, the shareholders changed the name of the company to Centum Investment Company Limited. [8] The shares of Centum Investment Company Limited have been publicly traded on the NSE since 1967 and on the USE since 10 February 2011. [9] Over time, Centum's strategy has evolved in line with the company's growth with Centum currently in its 2014 - 2019 strategic period dubbed "Centum 3.0". [10] Under Centum 3.0, the company maintains focus through 4 distinct business lines namely Real Estate, Private Equity, Development and Marketable Securities. [11]

Investment Overview

Centum's investments are organised into four key verticals:

Real Estate Portfolio

This division is involved in real estate development in Kenya [12] and Uganda, [13] with an eye to expanding into other countries in the African Great Lakes region. [14] These include: [15]

Private Equity Portfolio

This division acquires equity positions in either publicly or non-publicly-traded companies, mainly in the African Great Lakes region, but increasingly in other parts of the continent as well. [19] Investments under this segment include the beverage, publishing, financial services and utilities businesses. Per its March 2018 annual report, these included: [20]

Financial Services [21]

Fast Moving Consumer Goods [24]

  • Almasi Beverages Limited - 53.8 percent shareholding [25] [26] - The second largest Coca-Cola bottling franchise in Kenya.
  • Nairobi Bottlers - 27.6 percent shareholding - The largest of the Coca-Cola franchises in Kenya.
  • King Beverage Limited - 100 percent shareholding - Sole distributor for Danish beer manufacturer Carlsberg brands and select Edrington Products and Grays spirits in Kenya. [27]

Others [28]

Marketable Securities Portfolio

The Marketable Securities Portfolio comprises investments in securities and fixed income instruments managed by Nabo Capital. The portfolio is broadly diversified across various stock exchanges in Africa and primarily invests in large and mid-capitalization equities while maintaining sizeable allocations to fixed income and cash. [30] This segment represents 8.2% of Centum's portfolio value. [31]

Development Portfolio

This represents investments, outside from real estate, that are still under development. as of March 2018 the development portfolio consists of;

Former investments [32] [33]

Ownership

as of March 2018, the company stock was owned by corporate entities and individuals. The ten largest shareholders are listed in the table below: [3]

Centum Investment Company Stock Ownership
RankName of OwnerPercentage Ownership
1 Christopher John Kirubi
28.94
2 Industrial and Commercial Development Corporation
22.97
3International House Limited
1.57
4 CFC Stanbic Nominees Limited A/C NR1031144
1.43
5Standard Chartered Kenya Nominees NON-RED A/C 9827
1.43
6Standard Chartered Kenya Nominees Limited A/C KE002367
1.29
7Stanbic Nominees Ltd A/C NR 1031141
1.18
8John Kibunga Kimani
0.94
9Uganda Securities Exchange
0.89
10 James Mworia Mwirigi
0.85
Total
61.49

See also

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References

  1. ↑ Mutegi, Mugambi (16 November 2016). "Ex-AfDB boss Kaberuka to head Centum Board". Business Daily Africa . Nairobi. Retrieved 16 November 2016.
  2. ↑ Mutegi, Mugambi (10 February 2016). "Centum hires former PwC director as new chief finance officer". Business Daily Africa . Nairobi. Retrieved 10 February 2016.
  3. 1 2 3 Centum (31 March 2018). "Centum Annual Report and Financial Statements for the Year Ending 31 March 2018" (PDF). Nairobi: Centum Investments Limited (Centum). Retrieved 25 January 2019.
  4. ↑ Ngugi, Brian (28 August 2018). "Centum CEO takes pay cut to earn Sh177.5 million". Business Daily Africa . Nairobi. Retrieved 28 August 2018.
  5. ↑ Michira, Moses (6 October 2010). "Kenya: Centum's New Shares Begin Trading". Business Daily Africa via AllAfrica.com. Nairobi. Retrieved 14 April 2014.
  6. ↑ USE (4 August 2017). "Listed Equities on Uganda Securities Exchange". Kampala: Uganda Securities Exchange (USE). Retrieved 4 August 2017.
  7. ↑ "Centum Annual Report FY18" (PDF).
  8. ↑ "Centum: Our History". Centum Investment Company Limited. Retrieved 14 April 2014.
  9. ↑ Ojambo, Fred (29 December 2010). "Ugandan Exchange Approves Secondary Listing by Centum Investment of Kenya". Bloomberg.com . Retrieved 14 May 2014.
  10. ↑ "Centum's Strategic Evolvement".
  11. ↑ "Business Model".
  12. ↑ Thiong'o, Peterson (14 June 2014). "Centum Shares Hit New Highs On Improved Profits, Mega Projects". The EastAfrican . Nairobi. Retrieved 14 June 2014.
  13. ↑ Ojambo, Fred (12 April 2013). "Kenya's Centum to Invest $22 Million In Ugandan Luxury Marina". Bloomberg News . Retrieved 14 June 2014.
  14. ↑ Kamau, Scola (30 November 2010). "Centum Ventures Into High Return Markets". The EastAfrican . Nairobi. Retrieved 10 February 2016.
  15. ↑ "Centum Investment Company Limited FY18" (PDF). Centum Investment Company Limited. 31 March 2014. Archived from the original (PDF) on 29 November 2014. Retrieved 20 November 2014.
  16. ↑ "Two Rivers eyes smart city status with over 10,000 residences".
  17. ↑ "Vipingo Development Website".
  18. ↑ "Centum breaks ground for Sh100 billion industrial park".
  19. ↑ CENTM. "Private Equity". Centum Investment Company Limited (CENTM). Archived from the original on 18 October 2014. Retrieved 20 November 2014.
  20. ↑ "Centum Annual Report FY18" (PDF).
  21. ↑ "Financial Services Portfolio".
  22. ↑ CBK, . "Central Bank of Kenya: Commercial Banks & Mortgage Finance Institutions". Central Bank of Kenya (CBK). Archived from the original on 1 July 2014. Retrieved 31 July 2014.
  23. ↑ Mwaniki, Charles (20 May 2015). "Centum To Inject KSh1.2 Billion Bond Proceeds Into K-Rep Bank". Business Daily Africa . Nairobi. Retrieved 21 May 2015.
  24. ↑ "FMCG Portfolio".
  25. ↑ "Centum Annual Report FY18" (PDF).
  26. ↑ Juma, Victor (8 December 2014). "Centum buys majority stake in bottling firm". Business Daily Africa . Retrieved 9 December 2014.
  27. ↑ Herbling, David (10 February 2015). "Centum Enters Beer Market With Danish Carlsberg Franchise". Business Daily Africa . Nairobi. Retrieved 10 February 2015.
  28. ↑ "Others Portfolio".
  29. ↑ Longhorn Publishers Annual Report & Financial Statements 2018.
  30. ↑ "Marketable Securities".
  31. ↑ Centum Annual Report FY18 (PDF).
  32. ↑ "Private Equity Track Record".
  33. ↑ "History".
  34. ↑ "Centum sells stake in asset management firm".
  35. ↑ Mugwe, David (25 February 2013). "Centum Gets Uganda's Approval On Real Estate Project". The EastAfrican . Nairobi. Retrieved 21 June 2015.
  36. ↑ "Centum gains Sh1bn from Platinum sale".
  37. ↑ "Centum books gain from KWAL".
  38. ↑ "Centum exits AON".
  39. ↑ Juma, Victor (27 January 2015). "Old Mutual Raises Stake In UAP After KSh14 Billion Buyout". Business Daily Africa . Nairobi. Retrieved 27 January 2015.
  40. ↑ Mutegi, Mugambi (18 June 2015). "Centum's profit jumps to Sh7.9bn on sale of UAP". Business Daily Africa . Nairobi. Retrieved 22 September 2017.
  41. ↑ CICL (21 January 2012). "Centum Exits From RVR". Nairobi: Centum Investment Company Limited (CICL). Archived from the original on 9 February 2015. Retrieved 2 September 2015.
  42. ↑ RIKE (11 May 2011). "Centum Confirms Carbacid Share Sale" (PDF). Nairobi: Rich.co.ke (RIKE). Retrieved 12 February 2015.
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