Britam of Kenya Climbs Most in 3 Weeks on Outlook: Nairobi Mover

British-American Investments Co. (BRIT), a Kenyan financial-services group advanced the most in more than three weeks as investors bet the company made a profit and will pay a higher dividend.

Shares of Britam, as the company is known, climbed a second day, rising 3 percent to 6.80 shillings by the 3 p.m. close in the capital, Nairobi, the biggest gain since Feb. 1, according to data compiled by Bloomberg. About 489,600 shares traded, or more than double the three-month daily average.

Investors “are optimistic that the company will post better results and pay a higher dividend than the 15 cents in 2011 when they made a loss,” Augustine Misoka, a research analyst at Nairobi-based Sterling Capital Ltd., said in a phone interview today.

Net income is estimated at about 2.5 billion shillings ($29 million) in the 12 months through December compared with a loss of 197.7 million shillings a year earlier, Misoka said.

The company swung to a profit of 1.68 billion shillings in the six months through June after investment income surged fivefold.

Britam was rated buy in new coverage by Sterling Capital on Feb. 21 with a price target of 7.58 shillings. The stock was also rated buy in new coverage at Standard Investment Bank Ltd. on Jan. 30 with an 8.32-shilling target.

Britam’s stock has advanced 13 percent this year, outpacing an 11 percent gain in the Nairobi Securities Exchange All-Share Index. (NSEASI)

To contact the reporter on this story: Eric Ombok in Nairobi at

To contact the editor responsible for this story: Vernon Wessels at

Press spacebar to pause and continue. Press esc to stop.

Bloomberg reserves the right to remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.