Quickmart IPO draws investors to Nairobi Stock Exchange
The IPO of the retailer is only the second on the exchange since 2015 following the listing of Kenya Pipeline Company earlier this year.
Quickmart, Kenya's leading retail chain, is offering 2 billion shares, representing 50% of the company, on the Nairobi Stock Exchange (NSE). Priced at Sh7.50 each, the initial public offering (IPO) is valued at Sh30bn and aims to raise approximately Sh15bn for existing shareholders. The IPO, launched on October 5, remains open until October 30, with a minimum subscription of 75%.
Trading on the NSE is scheduled for November 12. Interest in the IPO has been substantial, with the World Bank's International Finance Corporation (IFC) expressing its intention to purchase up to $15m in shares, following board approval. This would amount to 13% of the total offering and grant the IFC a 6.5% stake in Quickmart. The company's largest shareholder, Adenia Partners, a private equity firm with a controlling share, will retain full ownership, maintaining its four out of eight board positions.
Adenia's partner, Martha Osier, explained that the firm invested in Quickmart in 2018 and 2019, merging the two businesses in 2020 under Sokoni Retail Kenya Limited Holdings. The IPO is seen as a partial exit for Adenia, allowing the firm to realize its initial investment while retaining significant control of the company. With a strong performance in 2025, generating Sh50.4bn in revenue and Sh1.7bn in net profit, Quickmart plans to expand by 10-15 stores annually, focusing on neighborhood locations.
The retailer aims to strike a balance between growth and shareholder returns by committing to an 80% dividend payout ratio of annual profits. Quickmart's IPO marks the second on the NSE since 2015, coinciding with a bullish trend in Kenya's stock market. The market's current enthusiasm, driven by low treasury bill rates and increased investor interest, positions Quickmart well for a successful partial exit through the IPO.
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