Category Archives: bank shares

Bank shares in ’06

Share performance of financial institutions listed at the Nairobi Stock Exchange in 2006.

Share prices as at: Dec 05 Dec 06 Change
Barclays Bank 263 77 (385) 46%
C.F.C Bank 75 89 19%
Diamond Trust 32.25 72.5 125%
Equity (listed in August ’06) 70 139 99%
Housing Finance 13.95 48 244%
I.C.D.C Investments 72.5 325 348%
Jubilee Insurance ]83 323 289%
Kenya Commercial 113 241 113%
National Bank 28.75 58 102%
NIC Bank 51 102 100%
Pan Africa Insurance 40 91.5 129%
Standard Chartered 139 205 47%

Other share activity
– Barclays had a 5-for-1 share split and a bonus issue of 1 for 3 and still paid the highest dividend of about 14 sh. per share in 2006
– Standard Chartered paid a 7.5 sh per share dividend
– Jubilee paid 4.25 sh dividend
– KCB paid a much improved dividend of 4 sh per share
– NIC paid a 2.5 sh dividend
– Equity joined the NSE as the entire shareholding was listed in August 2006 at 70 shillings per share after earlier paying a dividend of 2 sh per share.
– ICDCI shares rocketed up into the stratosphere as the company announced a 10 for 1 share split
– Pan Africa Insurance paid a 1.2 sh dividend
– CFC paid a dividend of 0.84sh per share
– Diamond Trust paid a 0.7sh dividend
– National Bank and Housing Finance had improved earnings but no dividend.

Bankshares

Top public bank/financial institution gainers in the first half of the year based on changes in share price from January to June, but leaving out 2005 dividend declared and paid.

So buy bank shares, instead of leaving money in the bank earning 2%!

Housing Finance 98.92%
National Bank of Kenya 64.35%
Diamond Trust 61.24%
Jubilee Insurance 50.60%
Kenya Commercial Bank 46.02%
NIC Bank 39.22%
I.C.D.C Investments 37.24%
Standard Chartered 7.91%
Pan Africa Insurance 7.50%
Barclays Bank 2.66%
C.F.C -10.00%

Previously
At the end of 2005
Pan Africa Insurance 91.43%
Kenya Commercial 77.27%
Housing Finance 59.20%
National Bank of Kenya 52.41%
Jubilee Insurance 46.12%
Barclays 38.50%
CFC 29.03%
ICDCI 25.83%
Standard Chartered 17.62%
Diamond Trust 12.11%
NIC 6.00%

New Player on the Banking Scene

Equity Building Society, which has experienced rapid growth over the last two years has filed a  notice to convert from a building society into a banking institution.

This is an interesting development considering that there has been a moratorium on Banking licenses at the CBK over the last few years – although earlier this year, Credit Agricole Indosuez quietly became Bank of Africa (or something like that).

Back to Equity, they have called for two meetings on Saturday 11th December at the Grand Regency Hotel; one at 10 a.m. that is a special general meeting for members and the second at 11 a.m. will be for depositors and creditors. Both will be asked to

  • (i) approve conversion from a building society to a banking institution.
  • (ii) approve the transfer of assets & liabilities of the society to those of a company.