Quickmart PLC announced a share price of KSh7.50 for its initial public offering, offering two billion existing ordinary shares.

The pricing places the supermarket chain’s equity at KSh30 billion and could generate KSh15 billion in proceeds, which will be received by the selling shareholder Sokoni Retail Kenya Limited rather than the company itself.

The Capital Markets Authority gave its approval for the offer and the Nairobi Securities Exchange cleared the listing on its Main Investment Market Segment.

The two-billion-share sale represents 50 per cent of Quickmart’s total of four billion issued shares, with no new shares being created and the seller retaining the remaining half.

A lock-up arrangement will apply for 24 months on 60 per cent of the seller’s post-offer holdings, starting from the date the shares begin trading.

The offer opens at 9:00 am on October 5 and closes at 5:00 pm on October 30, and will only be finalised if at least 75 per cent of the shares (1.5 billion) are subscribed; otherwise all application money will be refunded.

The minimum application is set at 500 shares costing KSh3,750 according to one source, while another source states a minimum of 550 shares costing KSh4,125.

Applicants may submit bids electronically via the online portal or by dialing USSD code 483803#, the latter option covering applications up to KSh250,000, or they may deliver a printed form to a designated Placing Agent before the closing deadline.

Allocation of the offer is earmarked as follows: 20 per cent to retail investors, 35 per cent to Kenyan institutional investors, 12 per cent to East African Community investors, 20 per cent to foreign investors and 13 per cent to the International Finance Corporation.

The IFC has conditionally pledged up to US$15 million, roughly KSh1.94 billion, representing about 13 per cent of the offer and an estimated 6.5 per cent of Quickmart’s post-listing share capital, pending board approval, and describes its participation as a commercial investment without endorsing the company.

At the set price, the shares trade at 12.9 times projected FY2026 adjusted earnings and 5.7 times projected FY2026 enterprise value to EBITDA, while the company forecasts a dividend of KSh0.50 per share, equating to a 6.7 per cent yield.

Quickmart reported FY2025 revenue of KSh50.4 billion and profit after tax of KSh1.51 billion, with another report citing an adjusted profit after tax of KSh1.7 billion for the same year.

The retailer projects FY2026 revenue of KSh58.2 billion and FY2027 revenue of KSh67.4 billion, and expects its store network to rise from 72 outlets to 73 by the end of 2026 and to 125 by 2030.

Chief executive Peter Kang’iri said the listing will broaden ownership and create a meaningful public free float, while the company plans to fund future store openings from internal cash flow.

Prospective investors are advised to review the Information Memorandum, noting that regulatory approvals do not constitute a recommendation and that the company’s forecasts are subject to change.