Category: Business Daily

Kiharu Member of Parliament Ndindi Nyoro sold 3.08 million shares of Kenya Power with a current market value of Sh37.8 million in the six months to June 2025, booking part of his profitable investment in the electricity distributor.

The sale reduced his holdings to 26.9 million at the end of June this year compared to 30 million shares in December 2024. He remains the top individual investor with a stake of 1.3 percent.

The stake is now valued at Sh322.8 million based on Kenya Power’s closing price of Sh12 yesterday, having posted major gains from the share price rally that has been driven by the company’s return to profitability and increased dividends.

Mr Nyoro had accumulated 32.5 million shares of the company at much lower prices to emerge as the top individual shareholder with a stake valued at Sh51.3 million at the end of June 2023 when the share price closed at Sh1.58.

The stock has risen by about 7.6 times since then, boosting the fortunes of investors who bought the stock when it was trading cheaply. The share price hit a record high of 15.8 on October 03, 2025.

Mr Nyoro has been buying and selling the company’s shares over the years, with his previous sales occurring in the six months to December 2023 when he traded 11.78 million units.

Two other individual investors increased their shareholding in Kenya Power in the six months to June this year, setting them up for enhanced dividend payouts from the company.

James Ochieng Ooko bought an additional 1.39 million shares in the six-month period to June this year, pushing his total shares to 13.67 million.

Nehemia Ikuah Ruhari was the other individual shareholder who increased his ownership stake with a purchase of 1.29 million shares, boosting his total to 11.27 million units.

‘I can assure our investors that this (dividend) is not a one-off and for the next few years they should expect to see growing profitability and more value for their money,’ Joy Masinde, chair of the Kenya Power board of directors said when the company announced its results for the year ended June 2025.

Kenya Power’s net profit dipped 18.66 percent to Sh24.46 billion in the review period as lower electricity prices and higher finance costs ate into the increased power sales.

But the firm enhanced its dividend payout to Sh1 per share for the year ended June 2025 from Sh0.70 a year earlier, boosting earnings for its big individual shareholders like Mr Nyoro.

The firm’s fortunes are set to get a major boost from July 2026 if it maintains the growth in electricity sales. This is because new electricity tariffs which are expected to be higher than the current ones will kick in.

Without doubt, the Kenyan diaspora plays a vital role in the country’s development and socio-economic transformation. This fact is underlined by the nearly Sh600 billion remittances they sent home last year.

The number of Kenyans overseas currently stands at an estimated 4 million, with most of them working in the Middle East and European countries. A good number are in the US, Asia, Latin America, Canada and Australia. In Africa, thousands of Kenyans are in South Africa, Rwanda, Tanzania and Uganda.

Cognizant of the immense contribution that Kenyans abroad make to the country, the government has in the recent past put in place robust measures to safeguard their welfare and interests.

The labour mobility programmes are now an integral component of the government’s strategic plan to address widespread joblessness.

This is understandably so, considering that about 1.2 million youths join the labour market every year, a number that outpaces the country’s economic capacity of nearly 800,000 jobs.

In the last three years, the government has rolled out various reforms and plans to expand employment opportunities abroad even as it steps up efforts to implement multiple programmes at home to absorb as many as possible in the local job market.

Initiatives like Kazi Majuu are deliberately crafted to open more opportunities overseas and link Kenyans with well-paying and dignified jobs in foreign land.

Besides lack of adequate opportunities locally, another primary driver of labour mobility is the high demand for Kenya’s human resource.

This is so because our workers are highly-skilled, qualified and diligent.

Even in jobs that do not require extensive knowledge such as domestic workers and drivers, our citizens have a competitive edge on account of their unbeatable work ethic.

Likewise at the top echelons of the labour market, Kenyan experts, scientists and innovators are giving a good account of themselves, making notable contributions in various spheres of knowledge globally.

The current government deserves mention for launching Jamhuri Diaspora Awards to honour these exceptional contributions of Kenyans living abroad.

Thanks to their solid credentials, the Kenyan worker is poised to take advantage of the massive job opportunities unfolding across the world.

A quick peek into the global demographic dynamics reveal that Kenyans have a big chance to continue being a hot cake in the global job market.

The trends in some countries in Asia and the West are tending towards an aging population, reducing the number of able-bodied people who can actively work.

Kenya, like many African countries, boast a very youthful population, with the median age at about 20, a number that is more or less similar to the average age on the continent.

Europe’s median age stands at about 45, Asia 30 and the world at 30. European and Asian countries are, therefore, hard-pressed to find ways to fill the vacancies caused by a shrinking workforce.

One such way is to create a favourable environment that attracts foreign workers. With the dwindling global workforce and the demand for foreigners rising rapidly, it will be imperative to improve workers’ pay, welfare and the terms of service.

Kenya has a head start to strategically leverage these opportunities to provide their citizens with decent, high-paying jobs.

But age cannot be the only winner in the global labour marketplace. The growing need for imported workforce in the global labour market will immensely benefit African countries whose people are equipped with a set of tools necessary to succeed in a highly competitive world stage.

Kenya must therefore double down on sharpening the skills of the youth through training that prepares them for the rigorous demands of the global labour market.

The benefits of labour mobility are not only enormously beneficial to workers and their family. The nation reaps big too. Many Kenyans working overseas have transformed their lives and the face of their families here at home. For instance, some have built permanent homes for their parents. This is clearly evident, when you travel in rural areas across the country.

Previous ramshackle structures have been replaced by posh homes, signifying a stunning transformative power of a good job and decent income.

Needless to say, the diaspora plays a central role in various national socio-economic development programmes that positively impact lives.

Remittances are now at the heart of economic growth, having risen exponentially in the last decade to become the country’s highest foreign exchange, overtaking tea, coffee and tourism. Data show inflows went up sixfold from slightly more than Sh100 billion in 2012 to nearly Sh600 billion in 2024.

The last two years have seen an exponential jump of Sh120 billion from Sh480 billion in 2022.

President Ruto has set an ambitious target of boosting remittances to Sh1 trillion by 2027, which is by no means beyond reach, considering the host of radical reforms being undertaken in the labour mobility realm.

In addition to being a source of job opportunities and remittances, labour migration fosters technology and skills transfer.

Kenyans overseas are bound to bring the global knowledge and their experiences back home, helping to catalyse economic growth, elevate local standards across sectors and deepen an entrepreneurial culture.

Among the consequential reforms implemented in the last three years is the establishment of the State Department of Diaspora Affairs, dedicated to the welfare of Kenyans in foreign countries. President Ruto deserves accolades for this action which was long overdue.

No previous administration paid such serious attention and recognition to the diaspora, yet they are an engine of national development. Thankfully, this wrong has been righted now by the current president.

Another notable change is the new 2024 Diaspora Policy being crafted to enhance support for diaspora investments, foster communication, and provide firm legal protections for Kenyans overseas.

In addition, the proposed law looks to reduce bureaucratic hurdles, and offer incentives to accelerate growth of remittances and business ventures.

To crown it all, the government has been working to fill loopholes that have left Kenyan workers exposed to exploitation, mistreatment, discrimination and poor pay.

Sanlam Allianz Holdings Kenya, the new name for Sanlam Kenya PLC, marks a new chapter for a company that started operating in Kenya on October 26, 1946 as Indo Africa Insurance Company Limited.

The firm, which was initially offering life insurance only, listed on the Nairobi Securities Exchange (NSE) in 1963 and changed its name to Pan Africa Insurance Company.

Once an insurer with the largest market share in Kenya, Sanlam has been overtaken by the likes of CIC, APA, GA, Old Mutual, Jubilee and ICEA Lion. Now it dreams of reclaiming this lost insurance crown thanks to the recent joint venture between South Africa’s Sanlam Limited and Germany’s Allianz SE.

Sanlam Allianz Holdings Kenya CEO Patrick Tumbo reflects on the decades of the company in the market, what the new deal means in terms of the company structure and the ambitions for the new entity.

What is the rationale for this transaction?

We started as a life company in 1946 and then moved on and became the leader in the life business for many years. Then we lost it.

We have now reorganised again to be the leaders. We have refined our strategy and in three to four years, you will see us at the top. But it might happen earlier.

We honour the healthy legacy which was built on nearly eight good decades of service, trust and enduring commitment to Kenya and now the idea is to make this journey even better.

At independence we made history as the first insurance company to list on the NSE, demonstrating our commitment to transparent growth and shared prosperity.

Pan Africa Insurance was for the longest the top insurer in the country before losing out. The new brand is a chance for us to start the journey of going back to the number one spot. We were here at independence and we want to be here for years to come.

We have successfully finalised a strategic regulatory approved merger of Sanlam General and the Jubilee-Allianz General into Sanlam Allianz General. We have streamlined operations and are ready to move the market and position ourselves perfectly for growth. Our history is defined by foresight, resilience and pursuit of scale. This has prepared us for the new era that begins now.

What does the shareholding structure look like after this joint venture?

To be more efficient now, we have to be nimble. The listed company remains. It was founded by the owners of the life company. They diversified out but the life company continues to be the flag bearer of the listed company.

We have diversified in a manner that the investments company- Sanlam Allianz Investments- will now be operating on its own. We will have the Sanlam General Insurance, also operating on its own. The life entity will also be operating on its own.

But together, these companies will be bearing the Sanlam Allianz brand. When you grow up, you move from the homestead. So, these companies have come of age.

The ownership structure in Kenya remains a bit complicated, whereby the law insists that one third must be owned locally. Sanlam Allianz Holdings will own all the entities.

Instead of holding another holding company, now Sanlam Allianz Holdings will own directly the Sanlam Allianz Investments, Sanlam Allianz General and Sanlam Allianz Life which will remain the listed entity so that the shareholders locally continue with what they started.

What does this rebrand mean for the market besides the name change?

This is not merely a change of the logo or a change of the name, but the culmination of a powerful venture between two titans-the African giant and the global giant.

Sanlam brings expertise in Africa and Allianz brings world leadership in insurance and asset management. Therefore, this for us, is about bringing together over a century of global excellence and technical innovation.

When you look at the two muscles coming together and with the expertise we have, we are prepared to take Sanlam Allianz to the top.

This new entity signifies unmatched expertise with an understanding of Kenya and Africa, allowing us to provide a broader, more innovative portfolio of financial solutions and risk solutions. We will leverage this immense scale and capital to underwrite giant risks and guarantee security that our clients demand.

You have talked of this deal giving you the capacity to underwrite giant risks. How much money has flowed into these entities as a result of this transaction and how does the capital look like now?

Some things are confidential and as a listed entity, there are things we cannot disclose publicly. But for all our entities they have a capital ratio of more than the prescribed minimum of 200 percent.

We are very stable now. When we publish financials, you will see the numbers. When we talk about scale and capacity, you just need to check who is backing us. The way we are structured, the balance sheet backing the risks that we underwrite in this market is massive.

Sanlam was once the top insurer in Kenya but lost out this position and is not even in the top five when you look at general and life business. What does the actualisation of this new venture mean?

Our goal is very clear- to be among the top one three financial services players in terms of market share and profitability, with the ultimate aim of being second to none.

When we look at culture, we realise that strategy is meaningless without the right people and the right culture. Our true strength lies in how we execute and live our promise and our purpose.

Retinopathy of Prematurity (ROP) is the leading cause of preventable childhood blindness globally. As medical advances allow more premature and extremely premature infants to survive, the number of babies at risk of developing ROP continues to rise.

In Kenya, recent investments in maternal and neonatal health have led to establishment of newborn units even in remote and previously under-served regions. Yet while we have made important strides in saving premature infants, equivalent progress in protecting their sight is yet to be met.

With only about 150 ophthalmologists serving a population of 55 million, and most newborn units lacking specialised eye-care coverage, the majority of the 200,000 premature babies born annually do not receive the retinal screening they urgently need.

Local studies estimate that between 17 and 42 percent of Kenyan premature infants develop ROP. Many of these cases are preventable, and nearly all can be treated effectively when detected early.

Recognising this, Retinopathy of Prematurity Working Group of Kenya and Ministry of Health introduced national ROP guidelines in 2018, training for both trainee and practicing ophthalmologists, and strengthened screening programmes across the country.

A semi-informal but vital network of general ophthalmologists emerged, using binocular indirect ophthalmoscopy and smartphone-based fundoscopy to capture retinal images and share them remotely with paediatric ophthalmologists and vitreoretinal surgeons for guidance.

These innovations have improved early detection, lowered the severity of disease among diagnosed infants, and reduced the rates of visual impairment among those who require treatment.

Despite these gains, universal ROP screening remains out of reach. It is within this gap that telehealth and AI offer transformational solutions-solutions that Kenya has already begun to deploy. In March 2025, a tele-ophthalmology programme was launched at Kenyatta National Hospital’s newborn unit.

Today, KNH is now connected to newborn units at Mbagathi Hospital, Kiambu Level Four Hospital, Pumwani Maternity Hospital and Mama Lucy Kibaki Hospital. Trained technicians equipped with a mobile retinal camera rotate across these facilities each week.

For every eligible preterm baby, they capture six retinal images per eye, record clinical risk factors such as gestational age, birth weight, oxygen exposure and illnesses like sepsis, and upload the data for remote review by ophthalmologists.

Within just six months, the programme has screened 960 infants, of whom 360 were diagnosed with ROP, proving itself cost-effective and scalable. It offers a glimpse of a future where no child goes blind just because a specialist was hours away.

Telehealth, however, is only part of the solution with AI poised to revolutionise the landscape even further. Around the world, AI algorithms are increasingly being used to diagnose retinal diseases, from diabetic retinopathy to hypertensive retinopathy, with accuracy comparable or surpassing to that of human specialists.

Yet Africa risks being left behind, because most AI systems are trained using non-African datasets and may perform poorly when applied to African populations due to racial differences in anatomical features such as retinal pigment.

To correct this imbalance, Kenyan specialists are building an AI-ROP model specifically designed for African infants. Using retinal images gathered through the telehealth programme, the team is training a system that will be capable of detecting and staging ROP with high sensitivity.

Once fully developed, the AI tool will allow any healthcare worker to take retinal images using a smartphone and receive an instant preliminary diagnosis. This will dramatically reduce delays, ensure timely intervention and bring expert-level screening to remote newborn units that lack ophthalmologists.

Behind the statistics are real children and families impacted by untreated ROP; whose eyesight could be saved with simple, timely ROP screening. ROP-related blindness is almost entirely preventable, and Kenya now stands on the brink of becoming a continental leader in eliminating it.

To achieve this, we must expand tele-ROP services to counties nationwide, invest in training more technicians and equipping newborn units with retinal cameras, accelerate development and regulatory approval AI models and mobilize government and private-sector funding to sustain and scale these innovations.

Treasury bond investors shunned the reopened 30-year paper in the dual tranche December auction, opting for the 25-year bond that pays higher annual interest.

In the sale that targeted Sh40 billion, the Central Bank of Kenya (CBK) reopened a 25-year bond that was first sold in May 2021, at a coupon of 13.92 percent, and a 30-year bond first sold in February 2011 that pays annual interest of 12 percent.

Investors offered a total of Sh53.13 billion in the auction, with CBK taking up Sh47.1 billion. The 25-year bond accounted for the bulk of the activity with bonds valued Sh48.5 billion and an acceptance of Sh43.2 billion, while the 30-year bond realised Sh3.9 billion from Sh4.59 billion offers. The 30-year bond, dubbed a Savings Development Bond (SDB) when it was floated in 2011, was most recently reopened in September, when it raised a modest Sh2.4 billion against a target of Sh20 billion.

It was also reopened in June this year alongside a 15-year bond from 2020 that carried a coupon of 12.75 percent.

The SDB netted Sh13.8 billion from Sh16.6 billion bids in this sale, where it was outperformed significantly by the 15-year paper which raised Sh57.9 billion from bids of Sh84.7 billion.

Investors have been keen on locking in any bond offering a relatively high coupon amid falling interest rates, regardless of tenor, as general interest rates in the fixed income market continue to fall.

The maturity profile of these bonds would have appealed to buyers who normally have a long investment profile such as pension funds, but retail investors also bought in as returns from other assets such as Treasury bills, unit trusts and fixed bank deposits continue to trend lower.

The general decline in interest rates has tracked the easing of the CBK’s monetary policy committee, which has cut rates in its last eight meetings held since August 2024.

The Central Bank Rate (CBR) currently stands at 9.25 percent, having been cut by 0.25 percentage points in the latest meeting on October 7. The CBR stood at 13 percent before the current easing cycle started in August 2024.

The CBK has been taking advantage of the willingness by investors to lend long term against favourable coupon rates to lengthen the maturity profile of domestic debt while running ahead of the year’s borrowing target.

In November, the CBK carried out two separate issuances in which it reopened four papers, comprising a pair of 15-year bonds that had 8.7 years and 11.4 years to maturity, a 20-year bond with seven years to maturity and a 25-year bond that had 21.9 years until it falls due.

These bonds pay investors interest at rates of between 12 and 14.2 percent, which is well above the rates of between 7.8 percent and 9.4 percent that are available on short term Treasury bills.

Investors offered the government a cumulative Sh208.75 billion in the two issuances, with the CBK taking up just over half of this amount at Sh107.6 billion.

Imports recorded the fastest growth of all sources of electricity supplied to Kenya Power in the year ended June 2025, underscoring the pivotal role of Ethiopia and Uganda in averting blackouts in Kenya.

An analysis of data from the utility firm shows that imports grew by 27.9 percent to 1,534 Gigawatt-hours (GWh) in the review period from 1,199GWh a year earlier, while supply from the dirty thermal plants rose 18.2 percent to 1,335GWh from 1,129GWh.

Kenya has in recent years deepened reliance on Ethiopia and Uganda to shore up supplies and avoid widespread power rationing amid near stagnant generation from geothermal and hydro sources.

But Kenya Power warned of the big risk of relying on imports, saying that Kenya is significantly exposed in the event of prolonged droughts or major breakdown of the hydropower plants in Ethiopia and Uganda.

It (importation of power) is a major concern and this is not premised on the thinking that they will be unable to supply us. Rather, my concern is that this is hydropower from these countries and in the event that there is a serious drought it may put them in a position where they are unable to meet this obligation,’ Joseph Siror, the Managing Director of Kenya told this publication recently.

Supply from geothermal sources grew by 0.19 percent to 5,718GWh in the review period from 5,707GWh a year earlier while hydro grew 3.1 percent to 3,504GWh from 3,396GWh.

Hydropower and geothermal are the mainstay of the national grid but their near stagnant growth in contribution has forced Kenya Power to overly turn to imports.

Wind power plants contributed 1,908GWh in the period under review which was a rise of seven percent from 1,780GWh a year earlier while supply from solar remained unchanged at 473GWh.

Kenya Power signed a 25-year electricity import deal with Ethiopia in 2022. Ethiopia Electricity Power Company (EEP) supplied the Nairobi Securities Exchange-listed firm with the most foreign electricity at 1,268 GWh in the review period.

Kenya Power also has power exchange deals with Uganda and Tanzania, with the net importer paying the other.

Kenya has been grappling with a surge in demand especially at peak hours, which has in turn triggered power rationing in some parts, mostly Western Kenya. President William Ruto recently said that the utility rationed some of the parts of the country from as early as 1700hours. Traditionally, peak demand in Kenya happens between 1900-2100hrs and this is the time when rationing has been used in recent years.

Increased supply from Ethiopia and Uganda has been critical in averting both widespread power rationing and a spike in power prices.

This is because imports are the second cheapest source with a kilowatt-hour of power from Ethiopia priced at an average of Sh8.39 behind local hydropower at Sh3.83 per unit.

Thermal power plants supply the most expensive power and increased contribution directly leads to costly electricity largely due to the fuel cost charge.

‘Thermal utilisation remained within target, with the supply mix anchored by geothermal and complemented by hydro, wind, imports and solar,’ Kenya Power says in its latest annual report.

President William Ruto’s commitment to the dualling of the Mau Summit to Rironi highway marks one of the most consequential infrastructure milestones in Kenya’s recent economic history.

The project is not just a road but a strategic economic booster, which will open up businesses and enhance Kenya’s competitiveness globally.

The Mau Summit-Rironi corridor is a backbone of Kenya’s transport and commercial network. It links the Rift Valley and western Kenya, together with the Lake Region Economic Bloc, to Nairobi and the Mombasa port as well as the Northern Corridor, the busiest trade route in East and Central Africa.

The upgrade of this corridor to a high-capacity highway will significantly reduce commuting time, logistical expenses and ease the movement of millions of people and thousands of businesses. These are key areas of improvement in boosting the economy to emulate high-value investment.

The scale of the road infrastructure has multiplier effects in various sectors in the economic aspect. Reduced transportation costs translate into lower prices for goods, higher profit margins for businesses, and increased competitiveness for exporters.

Agriculture, which forms the economic heartbeat of regions served by this highway, will particularly benefit from faster and safer access to national and regional markets.

Manufacturers will also gain from more predictable freight movement, enabling just-in-time production systems and greater supply-chain reliability. These are the building blocks of a modern, export-oriented economy.

International experience demonstrates that countries achieving rapid economic transformation consistently invest in world-class transport networks. China, for instance, lifted millions out of poverty through an unprecedented expansion of highways and logistics corridors that connected interior provinces to industrial hubs and global markets.

Rwanda’s accelerated growth has partly been driven by intentional upgrades of key transport channels, which reduced business bottlenecks and attracted long-term investors. Even the United States’ post-war economic boom was fueled by the development of the interstate highway system, which unified markets and unlocked national productivity.

Singapore, the model that Kenya wants to follow, made the efficiency of infrastructure the basis of prosperity. Its roads, ports, and transport systems were developed not as political statements but as economic tools designed to attract capital, expand trade, and ensure seamless movement of goods and people.

Kenya’s Mau Summit-Rironi project aligns perfectly with this philosophy: infrastructure is not an expenditure; it is an investment in long-term competitiveness.

By constructing such modern transportation arteries, Kenya signals predictability, seriousness, and readiness for global business.

Investors look not only at policy frameworks but also at the physical ease of doing business. A nation where goods move efficiently, where logistics are predictable, regions are connected, and markets are accessible becomes inherently attractive for capital. Every kilometre of improved highway helps close Kenya’s competitiveness gap with emerging economic powerhouses and strengthens its value proposition as the gateway to East Africa.

Mau Summit-Rironi highway will also create jobs, directly through construction and indirectly by enhancing business activities. Industrial parks, development of real estate, tourism along the corridor, wholesale depots and agricultural aggregation centres will naturally form the outcome once the transport friction is minimised. This is the way infrastructure creates inclusive growth: through opening possibilities way beyond the tarmac.

This type of project demonstrates national will and Kenya’s aspiration to prosper. It is impossible to become a modern and prosperous country while relying on outdated transport networks. By investing boldly in such a high-impact corridor, Kenya is laying the foundation for an efficient, interconnected, and globally competitive economy.

The Mau Summit-Rironi highway is not just a road; it is a statement of Kenya’s economic destiny. It is an indication that the country is willing to transform its infrastructure to first-world standards. The project will also attract more people and investments, unlocking human potential and the markets.

Human and animal feeds maker Unga Group invested Sh211 million in solar energy and its Famila porridge production line in the year ended June 2025 as it seeks to cut costs and focus on products with high demand.

The company undertook renovations of silos and equipment to improve the quality of the Famila line, as well as completion of solar energy installations to reduce operating costs.

‘Capital expenditure was maintained at a focused level (Sh211 million) and directed towards projects with quick paybacks, such as the restoration of the Famila production line and the ongoing deployment of solar energy systems across our sites,” Unga said in its latest annual report.

‘The solar project, now completed, has yielded notable energy cost savings while aligning with our environmental sustainability goals.’

Last year, Unga set out to revamp its production lines by renovating the plants, silos and equipment.

Famila is a brand of nutritious porridge and cereal products from Unga, including options like instant porridge and baby cereals, made from maize, millet and sorghum.

Unga says the upgrades have helped streamline operations, reducing delays and bottlenecks that previously slowed production.

The company also completed its renewable energy projects including solar installation at production facilities.

The Nairobi Securities Exchange (NSE)-listed food processor has reported significant savings following its switch to solar energy, cutting administrative costs by nearly 40 percent.

‘The successful utilisation of solar power for production delivered quantifiable cost savings.

The average monthly electricity bill dropped by approximately Sh50,000, culminating in total savings of Sh1,166,459 since the project’s installation,’ added Unga.

More companies are investing in solar power plants to cut costs and reduce disruptions brought by outages in the national grid. They include Carbacid Investments and Mabati Rolling Mills.

When KFC’s announcement in 2021 caused a social media storm with its revelation that it was importing frozen cut potatoes from Egypt, Humphrey Mburu saw an opportunity to take his enterprise into the next phase of growth.

At the time, Mr Mburu was already supplying fresh potatoes to Nairobi eateries through his company, Sereni Fries Ltd. He knew the demand for convenience-ready fries existed, but the KFC saga exposed something bigger.

‘That moment confirmed what we had always suspected,’ he recalls. ‘There was a huge untapped market. Kenya.’

It was also a reality check moment for him when KFC approached Mr Mburu to supply them after encountering logistical challenges importing frozen fries.

‘Luckily, we had equipment, so we began exploring frozen fries at our Mlolongo facility. But we didn’t meet KFC standards initially,’ says the entrepreneur who was a banker at Fina Bank before venturing into potato processing.

This only pushed him to improve and in 2024 set up a new line for frozen fries. ‘The industry has grown in leaps. Very few people still import frozen fries,’ he observes.

Journey to industrial processor

Mr Mburu’s journey into the business began long before the online uproar. In 2012 he had his light bulb moment.

‘I was talking to a friend who operated a fast-food restaurant in town. He was lamenting about the value-chain challenges they faced as an industry, especially around handling French fries. As he talked, I realised that if I could take away their headache and offer a solution in potato handling, there was a business opportunity,’ he recalls.

At the time, most restaurants bought raw potatoes and processed them at the back of their outlets, a labour-intensive process that created significant waste-management challenges. The big idea, therefore, was to create efficiency for restaurants by delivering fresh-cut potatoes.

With a Sh175,000 loan, he set up Sereni Fries as a sole proprietorship and later quit his job in May 2013.

‘We started in Mlolongo, Machakos in a small room where my first employee and I worked at night. I would then deliver potatoes to all three of our clients in my Toyota Probox.’

Those early days were ‘messy but instructive’, he says. Through mistakes and miscalculations, especially on potato varieties, Mr Mburu learned the demands and standards of the industry.

The greatest lesson from that season, he says, was to always be willing to learn and never fear making mistakes.

A key strength of his business model has been audacity. Mr Mburu cracked the code of asking for business very early. Before their first year ended, he had secured a major client.

‘I knew someone who worked at the Hilton Hotel. He introduced me to the executive chef, a Frenchman, who immediately saw the brilliance of our idea. He asked for a sample; we delivered it the same day, and he approved it and placed our biggest order then-30 kilogrammes, which we delivered immediately.’

About a year later, the business had grown significantly. ‘We were pushing about 200 kilos a day. That made us realise we needed more people, more space, and more water to manage growth.’

They relocated to a bigger space in Mlolongo. Mr Mburu’s brother joined as an investor after buying into the vision. In the same year, Sereni Fries onboarded Big Square, Naivas Supermarkets, and their biggest client to date-Chicken Inn, operated by Simbisa Brands Kenya.

A major turning point came through a trip organised by the Dutch Embassy for Kenyan industry players to the Netherlands. ‘We explored the entire value chain and learned how to market better. It made us realise the impact this business could have back home. That trip confirmed that I was in the right industry.’

Their growth led them to an even larger facility, and in 2016 they moved to their current 9,000-square-metre operations plant in Mlolongo. Around this time, they made an important discovery: ‘We quickly noted that for every 100 kilos you process, you need one person. Understanding scaling and capacity from an informed standpoint changed everything.’

By 2019, the business seemed to have plateaued.

Then came 2021. A market ready to be claimed revealed itself. Besides KFC, other restaurants also started making inquiries about frozen fries.

Mr Mburu says,’That’s when we made the decision to move into frozen fries properly.’

Funding has been necessary at every phase of expansion. How has Sereni Fries achieved this? ‘We have grown in two ways: reinvesting our profits and through loans from a local bank that has believed in us since 2015.’

The core of their business-the potato-must be the right variety and quality. ‘Kenya is saturated with a variety called Shangi, which is not suitable for the products we make. After returning from the Netherlands, we began working with seed companies to introduce better varieties.’

Today, Sereni Fries works directly with farmers growing their preferred varieties, eliminating middlemen and ensuring quality. ‘We have a network of about 3,000 farmers from all potato-growing regions, both smallholder and large-scale. Our top varieties now are Markies and Challenger. ‘

Sereni Fries operates nine fresh-cut potato outlets countrywide, employing 65 people, and one frozen-fries line in Naivasha, employing 73 people.

‘With frozen fries, it’s easier to operate from one central location because the product does not need to get to clients as quickly as fresh-cut. We supply the entire country from Naivasha.’

Their production has grown nearly 800-fold. ‘We started with 30 kilos a day; now we do 9,125 tonnes annually. We plan to scale even further. Outside Kenya, only Egypt and South Africa do this kind of business. The potential in the Sub-Saharan region is huge. We are eyeing Uganda, Tanzania, Rwanda, and beyond.’

Industry knowledge has also propelled their growth. ‘We now know things we didn’t know when starting out. Knowledge increases efficiency, reduces wastage, and grows margins.’

What is Mr Mburu’s long-term vision?

‘My idea for Sereni Fries is to lead a potato revolution in the region-both in production and marketing. We want to steer it. The market is untapped, and if we are deliberate, it can become a key economic driver.’ He notes that Kenya will host the World Potato Congress in 2026. ‘If you ever needed a sign, this is it.’

As 2025 wraps up, Make Money takes a look at the wins of the year. We break down the top-performing asset classes and sectors and analyse the macroeconomic forces, policy shifts, and global trends that propelled their success.

We are joined by IC Group economist Churchill Ogutu.

Make Money, a podcast series, hosted by Kepha Muiruri, from Business Daily Africa unravels ways to be financially savvy. Get practical tips and advice on how to increase your income, build wealth, and achieve financial freedom in Kenya. Whether you’re just starting out or a seasoned investor, we’ve got something for everyone.