Nigerian billionaire Aliko Dangote, chief executive of Dangote Industries, has bought a 24.76 per cent stake in Kenya Pipeline Company (KPC) for an estimated KSh42.5 billion.
The purchase was announced in London and Bloomberg quoted Dangote as saying he bought “25 per cent of their pipeline network for their distribution of petroleum products.”
The 4.5 billion shares were bought from state institutions that include the National Social Security Fund, the Public Servants Pension Scheme, the County Workers Pension Fund and the Unclaimed Financial Assets Authority.
The deal makes Dangote the second-largest shareholder in KPC and could give him board seats and influence over strategic investments.
Business Daily Africa reported the stake value at about KSh42 billion, while Capital Business gave a figure of KSh42.5 billion.
The transaction follows KPC’s initial public offering earlier this year, when the government stepped in to buy shares after private demand fell short of the KSh53.1 billion target.
Thirteen state-backed pension schemes and agencies invested KSh64.23 billion for a 38.35 per cent holding, with the National Social Security Fund contributing KSh38.5 billion.
KPC shares were priced at KSh9 per share for the offer that opened on January 19 and closed on February 24, and they began trading on the Nairobi bourse on March 9 at KSh9.02.
In the year to June 2026, KPC reported a 13 per cent rise in net profit to KSh11.58 billion and paid dividends of KSh5.81 billion.
The acquisition comes a month after President William Ruto and Dangote broke ground on a planned oil refinery in Lamu, a project valued at about KSh2 trillion to KSh2.2 trillion and expected to be completed in 2030.
Dangote has offered regional governments a combined 30 per cent stake in the Lamu refinery, which will have a planned capacity of 700,000 barrels per day and will eventually list on the Nairobi bourse.
