NEW VENTURE

NBV eyes infrastructure sector after restructuring

It is exiting the retail businesses where it had the brand name “K Shoe”

In Summary

•On Monday, the company listed an additional 415 million shares completing its restructuring process.

•It has on-boarded Dubai based-Delta International (FZE) as a new investor.

L-R:NSE CEO Geoffrey Odundo NBV Chairman Haresh Soni, NSE Chairman Kiprono Kittony and ABC Group Managing Director Shamaz Savani at NBV's bell ringing ceremony. NBV listed an additional 415 million shares on the NSE/
L-R:NSE CEO Geoffrey Odundo NBV Chairman Haresh Soni, NSE Chairman Kiprono Kittony and ABC Group Managing Director Shamaz Savani at NBV's bell ringing ceremony. NBV listed an additional 415 million shares on the NSE/
Image: COURTESY

Nairobi Business Ventures (NBV) Limited has listed an additional 415 million shares completing its restructuring process and the on-boarding of a new investor, Delta International (FZE).

NBV will now focus on manufacturing, importing, and selling raw materials used by cement and steel processors and other companies in the infrastructure sector, management said on Monday.

The move, it says, is informed by growth of the infrastructure sector on the continent, which provides opportunities to supply companies making end products such as cement and steel.

 
 

“Africa is the future of economic opportunities and NBV is committed to join the race with its contribution. We want to part of the Big Four agenda of the Kenyan government also and our main focussed sectors of activity shall be infrastructure,” chairman Haresh Soni said at the firm’s bell ringing ceremony.

The listing of additional shares at the Nairobi Securities Exchange (NSE) follows a Sh83 million investment by Dubai-based Delta International FZE in early November.

NSE chairman, Kiprono Kittony said the move marks an important milestone for NBV.

“The capital injection as well as the new business focus will play a significant role in reviving business operations as well as renew investor’s confidence in the prospects and future of the business,” Kittony said.

The investment also resulted in NBV getting a new board of directors.

NBV was first established as a leather products retail chain operating under the brand name “K Shoe” but has decided to exit the retail businesses, which is facing numerous challenges.

Instead, it will venture into trade and the manufacturing of sustainable products used by companies in the infrastructure sector.

 

The company was listed by introduction on the Growth Enterprises Market Segment (GEMS) of the Nairobi Securities Exchange (NSE) in July 2016.

Delta International FZE has been investing and operating in Kenya and East Africa for close to 10 years.

It is a major shareholder in Shreeji Chemicals, a leading manufacturer in the region and Delta Holdings which has real estate interests. The promoter of the company also has interest in logistics, aviation and healthcare.