The stock can now go back to 65-75Kes range. I had wondered the reason why scangroup share fell from 64 to 45 Kes?
Aiming 85 kes.

You have to admire the gymnastics of Bharat Thakar. His business grows by 10% only, which would maybe have yielded negative return but then...
1. Milliard Brown is transformed from joint venture to subsidiary, giving a 280m or 15.4% boost
2. Interst income on money received from WPP gives a 112m windfall

And voila, overall profit perfore tax up 151%.
https://www.nse.co.ke/listed-com...ngroup-half-year-results

BT has never shied away from "Interest Income" ... I recall when interest rates jumped to 25%, he took the cash from WPP and invested it while waiting for the right acquisition at the right price. He thinks like an owner because he is an OWNER. A 'manager' would take the cash & go hunting for an acquisition regardless of price so as to expand his fiefdom. See KQ.

WPP had shares in MB [or something like that] and the conversion to a subsidiary is a larger plan to get most SSA businesses under ScanGroup. Essentially, ScanGroup is being converted into a Holding Company and whose #1 shareholder is WPP. I believe BT has only a few more years before he retires or resigns from ScanGroup.

surprising muted response from Mr.market to scangroups marvelous results........

The rally might start on Monday but bearing in mind that the NSE IPO is also in its closing stages early next week, activities on this counter might be subdued until later next week.

The H1 gain arises mainly from interest income not business lines...stock price might get ''excited'' Sept- Dec. period...however actions such as the intended acquistion of Experential and other African subsidiaries should improve the bottom line and hence EPS and share price. Time will return the stock to even higher highs. I still believe WPP shareholding increase through creation of additional shares led to price dilution.

correct

Quite the opposite, the acquisitions may show a very healthy growth in profits.

On the other hand, management can tamper with acquisitions accounting to hide a very expensive acquisition, under performing assets, to transfer risky assets and liabilities to SPVs and other sneaky practices.

This is what brought down Enron and Worldcom in the largest corporate scandals of the time and also led to the demise of Arthur Anderson, the largest accounting and consultancy firm at that time.

Scangroup now let's go of the Experential acquistion due to "regulatory delays"...possibly looking at a new acquistion?

Still sitting on (part of) the WPP (Kshs. 1Bn +) cash pile...

Good for ScanGroup. Though it takes a lot for another bid. I think SG saw the deal as a poor deal as the Due Diligence continued and had a good excuse to bail out. And there may be a competitor ready to be bought out!