Kenyan investor dumps oil shares worth $800,000 in exchange for avocados

Kenyan investor John Kibunga Kimani has ceased being one of the biggest oil investors in the country after he exited Total Kenya leaving French conglomerate Total SA as the remaining largest shareholder. Kibunga sold his three million Total Kenya shares worth Sh80 million ($800,000), which he has held for years, as the second-largest investor in Total Kenya. “I sold my Total shares. This was to raise funds to buy more shares in Kakuzi,” said Kimani, who has been accumulating shares in the agricultural firm for more than a decade.

His stake in Kakuzi, a Kenyan agricultural cultivation and manufacture company dealing with tea, avocados, pineapples, and livestock, currently stands at about 31%. Kibunga’s purchase of more of Kakuzi’s shares is strategic and comes at a time when the NSE-listed firm is increasingly diversifying its business.

Last year, the agriculture company while announcing a 5.2% increase in net profit to Sh561.6 million for the year ended December 2018, revealed that it would stop growing its trademark crop, pineapples, after more than two decades of planting the crop and instead adopt fast moving avocados whose demand has skyrocketed globally. referred to International Trade Centre (ITC) data, in 2017, Kenya exported a record 51,507 tons of avocados, against former front runner South Africa’s 43,492 tons.

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