KenGen Jumps to Three-Month High on Market Share: Nairobi Mover
Kenya Electricity Generating Co. (KEGC), the east African nation’s biggest power producer, jumped to the highest level in more than three months on improving market share.
The stock rose by the daily limit of 10 percent before trading 5.6 percent higher at 8.45 shillings by the close in the capital, Nairobi. That’s the strongest level since Jan. 10 on a closing basis, according to data compiled by Bloomberg.
“It has been recovering its lost market share from the independent power producers with the onset of rains and commissioning of new power stations,” Rufus Mwanyasi, head trader at Nairobi-based Canaan Capital Ltd., said in a phone interview today.
The market share of KenGen, as the company is known, has recovered to about 60 percent after sliding to less than 50 percent 1 1/2 years ago, Mwanyasi said.
KenGen expects to produce 585 megawatts of electricity from geothermal sources by 2018 and is also targeting production of 80 megawatts of thermal power and 120 megawatts of wind energy by 2014, Managing Director Edward Njoroge said Feb. 29. Hydroelectric plants provide about 65 percent of Kenya’s power generation, according to the company’s website.
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