Kenya has launched the sale of a 65% stake in its state-owned oil pipeline company, a landmark move aimed at raising 106.3 billion shillings ($825 million) in what officials described as East Africa's largest-ever initial public offering.

Announced on Monday, the sale of the Kenya Pipeline Company (KPC) stake is a cornerstone of President William Ruto’s broader economic strategy to divest from state corporations, with the government planning to utilise the proceeds to finance new infrastructure projects and bolster the country's sovereign wealth funds. 

As part of this fiscal shift, the administration is also reducing its shareholding in Safaricom, the nation’s leading telecommunications operator.

According to the offer documents, the government has priced the IPO at nine shillings per share. The subscription period is scheduled to run through Feb. 19, with the shares set to debut on the Nairobi Securities Exchange (NSE) on March 9.

Market analysts noted that the KPC sale represents a major milestone for the regional exchange, surpassing the previous record held by the 2008 Safaricom IPO, which raised 50 billion shillings. 

The launch comes at a period of significant momentum for global equity capital markets, which reached record highs in 2025.

LSEG data indicates that global equity capital markets activity totalled $738.4 billion in 2025, a 15% increase year-on-year. This marked the strongest annual performance in four years. Approximately 20% of that capital was raised by issuers across Europe, the Middle East, and Africa.

The KPC listing is expected to improve corporate governance and operational efficiency within the strategic firm, which manages the transport and storage of petroleum products for Kenya and several landlocked neighbours. 

In December 2025, Uganda expressed interest in buying a stake in the Kenya Pipeline Company through a portion of a $2 billion loan backed by Vitol, a global oil trader. 

By opening ownership to the public, the government hopes to stimulate retail investor interest and deepen the liquidity of the local bourse.