Africa's richest man, Aliko Dangote, has confirmed that his group bought a 25 per cent stake in Kenya Pipeline Company (KPC). It is one of the largest single foreign investments in a Kenyan listed company.

"We bought 25 per cent of their pipeline network for the distribution of petroleum products," Dangote said at the 13th Financial Times Africa Summit in London on Wednesday, 21 October 2026. He did not say which company in his group made the purchase.

The block trade

The Nairobi Securities Exchange reported on Monday, 19 October, that 4.5 billion KPC shares changed hands in a block trade at between Sh9.02 and Sh9.36 each. That is about Sh42.46 billion, or roughly US$327 million, and represents about 24.76 per cent of the company.

Under capital markets rules, acquiring 25 per cent or more of a listed company's voting shares triggers a mandatory takeover process and notification to the Capital Markets Authority.

Ruto: a vote of confidence

President William Ruto mentioned the deal at Mashujaa Day in Eldoret without naming the buyer. "Just yesterday... private investors acquired a 25 per cent stake in Kenya Pipeline from public entities," he said. He presented it as proof that the privatisation was raising private capital for strategic infrastructure.

Nyoro's allegations

Kiharu MP Ndindi Nyoro has challenged the deal. He alleges that state pension funds, including the NSSF and PSSF, were directed to buy KPC shares in the IPO against professional advice and then told to sell them to a private investor at a loss. He also claims the investor and the investment bank involved are linked to the President.

"In other words he took a soft loan from your pensions, you made a loss but he is making money from it," Nyoro said, as reported by Citizen Digital. These are his allegations and have not been independently verified. The government has not responded to them in detail.

KPC's journey to the NSE

KPC was wholly state-owned until the government sold 65 per cent of it through an IPO that opened on 19 January 2026. The company listed on the NSE on 9 March. Major buyers included the NSSF, the Unclaimed Financial Assets Authority and state-backed pension schemes. It is not yet clear which of them sold in this week's trade.

The deal fits Dangote's growing interest in Kenya. On 30 September, Ruto and Dangote broke ground on a refinery project in Lamu.

Photos: Kenyans.co.ke; Citizen Digital