@the deal, sales turnover, sales volumes & cash at the end of 2012 were down 13%, 21% and 33% respectively. The increase in cashflow from operations was because they sold most of the stocks they were holding consequently reducing the stock holding to KES 8.9 from KES 24B. KK is going through a desperate time and is seeking desperate measures as pointed by @mlennyma

@ mlennyma: It is the nature of capitalism (An economic system based on a free market, open competition, profit motive and private ownership of the means of production.)

The investors at the nse have smelt an opportunity to buy the kk share at a song helped by the disastrous 2012 financial year results. It is perfectly legal but not necessary moral to scare the weak hands into offloading at panic prices (Ksh 5).

Having said that, after analyzing the financial results of KK, i was shocked that almost 90% of its retained earnings accumulated over almost a decade were wipped out in this one financial year!! This may mean that for the next 3-4 years, the company has to painstakingly recreate those retained earnings hence a depressed dividend payment policy going forward.

I will only therefore consider it at a sub Ksh 5 price.

Happy hunting.

If I was a strategic investor I would be buying in bucket loads now and apply for takeover when I reach threshold

No wonder Puma withdrew their bid

I detest your distasteful language even if you are going through a tough loss

With regard to KK and Total I just have to give the Lawrence Garfield speech in that movie "Other Peoples Money"

"Amen, and amen, and amen. You'll have to forgive me, I'm not familiar with the local custom. Where I come from, you always say 'Amen' after you hear a prayer. Because that's what you just heard - a prayer. Where I come from, that particular prayer is called 'The Prayer for the Dead.' You just heard The Prayer for the Dead, my fellow stockholders, and you didn't say, 'Amen.' This company is dead. I didn't kill it. Don't blame me. It was dead when I got here. It's too late for prayers. For even if the prayers were answered, and a miracle occurred, and the yen did this, and the dollar did that, and the infrastructure did the other thing, we would still be dead! You know why? Fiber optics. New technologies. Obsolescence. We're dead, alright. We're just not broke. And do you know the surest way to go broke? Keep getting an increasing share of a shrinking market. Down the tubes. Slow, but sure.


You know, at one time, there must've been dozens of companies making buggy whips. And I'll bet the last company around was the one that made the best god-damn buggy whip you ever saw. Now how would you have liked to have been a stockholder in that company? You invested in a business and this business is dead. Let's have the intelligence, let's have the decency to sign the death certificate, collect the insurance, and invest in something with a future. 'Ah, but we can't,' goes the prayer. 'We can't because we have responsibility, a responsibility to our employees, to our community. What will happen to them?' I got two words for that - 'Who cares?' Care about them? Why? They didn't care about you. They sucked you dry. You have no responsibility to them. For the last ten years, this company bled your money. Did this community ever say, 'We know times are tough. We'll lower taxes, reduce water and sewer.' Check it out: You're paying twice what you did ten years ago. And our devoted employees, who have taken no increases for the past three years, are still making twice what they made ten years ago. And our stock - one-sixth of what it was ten years ago. 'Who cares?' I'll tell ya -- Me.


I'm not your best friend. I'm your only friend. I don't make anything. I'm makin' you money. And lest we forget, that's the only reason any of you became stockholders in the first place. You wanna make money! You don't care if they manufacture wire and cable, fried chicken, or grow tangerines! You wanna make money! I'm the only friend you've got. I'm makin' you money. Take the money. Invest it somewhere else. Maybe, maybe you'll get lucky and it'll be used productively. And if it is, you'll create new jobs and provide a service for the economy and, God forbid, even make a few bucks for yourselves. And if anybody asks, tell 'em ya gave at the plant.

And by the way, it pleases me that I'm called 'Larry the Liquidator.' You know why, fellow stockholders? Because at my funeral, you'll leave with a smile on your face and a few bucks in your pocket. Now that's a funeral worth having!"

Kenya is kks biggest market and price controls are making profit margins a struggle,dont defend a company in trouble in courts and financially,.we are not saying its fortunes cant change to the better in the far future.

When something is important to your bottomline, but you are aware that you don't have comparative advantage, outsource. KQ & EA Portland have taken hits, but it seems nobody can learn anything.
Imho, hedging should be outsourced to banks who have the expertise...

At @the deal, I am in KK but when things are bad, we gotta admit it. Its bad! how we make good of a bad situation is another issue.

Imagine if KK makes a similar loss in 2013. We will be talking of liquidation. Thats a company you want to think twice before you put in your money.

For the people already in, its time to minimise your risk to acceptable levels.