The real Safaricom EDGE

(Premium) Story in the Nation about the Cabinet being presented with a paper to approve the sale of 25% of Safaricom to the public.

This is a winning card this election year that will be foremost in the minds of investors and voters. A well managed Safaricom IPO before December could deliver more votes than needless voter expenditure or rhetoric from any leader.

Power shift: Meanwhile Bloomberg reports that – for the first time since WWII more money will be raised from European IPO’s than US ones. Stringent regulations, high costs (6.7% of IPO versus 3.3% for Europe) and the weak US$ to blame as 14 or the 15 biggest recent IPO’s were listed outside the US.

Media bill 2007

There have been many columns written about the Media Bill 2007 that was presented in Parliament this month and which seeks to instill responsibility among journalists. However it is missing from the ministry site, there are no PDF’s available (so far) and I was only able to get a copy thanks to a networked bloggger.

It was disappointing that so far everyone talks about it, but few (member of the public) have seen it. Even media houses have remained selfish with the document, withholding it and only telling us what’s bad about it. Actually the bill is quite bare, except for providing for the establishment of a media advisory council, media advisory board and a code of conduct for journalists.

– Pros: It creates about 20 new jobs (board seats) on two new bodies (media advisory council and media advisory board)
– Is not as broad as previously envisioned when it appeared that it would cover cross ownership and content issues.

Cons: Much has been written about it – read some (here, here, and here)

The bill is crafted by people who believe that the media are out to get them so it comes out as something that a media-challenged celebrity may have written – guiding the media on what to do and what not to do via a code of conduct. It seems to be directed at the Standard which is believed to have editorial issues dictated by ownership (the bill calls on journalists to refuse to allow the interests of ownership or management to influence news’ judgment and content inappropriately) and therefore one ups the Standard by drafting a bill that seeks to forbid intrusions into individuals private life (without the persons consent), alarming headlines (a staple of tabloids to lure buyers), the use of hidden recordings (ala Githongo) and confidential/unnamed sources – with penalties such as deregistration of journalists.

Likely outcome: As bad as the bill is, it may actually pass in parliament because no politician likes the media – they will make a show of opposing the bill, but all will welcome the chance/forum to complain about negative coverage.

Jobs

from the newspapers over the last week

Commercial and political risks underwriter at Africa trade insurance agency – ATIA. Apply to Recruitment@Africa-ECA.com by 15/6

Marketing manager at nation media group: apply to hrrecruit@nation.co.ke 30/5

National communications secretariat of the republic of Kenya: communication legal expert, accountant, system administrator. Apply to ncs@elimu.net 15/6

Pricewaterhousecoopers: public financial management and procurement specialists. Apply to recruitment.ke@ke.pwc.com by 15/6

Sony (South Nyanza Sugar Company): CEO/ M – details here. Also HR development manager, procurement manager, management accountant, property manager, sales operations manager. Apply by 20/6

Olympia Rights Issue

Olympia capital is seeking to raise 600 million shillings in a rights issue later this year, after approval by shareholders. Part of the proceeds (Kshs. 87 million) will be used to repay a shareholders loan that was used to bridge the purchase of Plush Products in 2006.

The acquisition of Plush is expected to more than double the company’s turnover in 2007 Olympia’s accounts were not qualified, but the auditors have noted that their company has a negative working capital position – which has been offset by gains from the Botswana subsidiary – from which Olympia generates 5X more turnover than it does from Kenya.

More reading on Olympia: (here and here)

Summer Calendar

Up comings events

What ICT can do for your business: besides make you a multi-millionaire – A talk by Jonathan Somen, Access Kenya CEO.

Uchumi anniversary: One year after the company was shut down, the receiver manager will on May 31, explain the way forward to shareholders

Welcome to Kenya: June 1 sees the arrival of CNBC broadcasts and Virgin Atlantic air services

Rhino Charge: The 2007 Kenya Rhino Charge presumably in the Kerio Valley, June 1 – 3

TED Global in Arusha: Dubbed Africa: The Next Chapter, June 4-7.

edit – Tusker Safari Sevens
Kenya’s premier rugby event: June 8 – 10

Satellite & wireless conference: The African Satellite & Wireless Broadband Conference & VoIP Forum at Safari Park Hotel, Nairobi, 11-13 June with the theme of “Broadband bridges across Africa: First and last mile solutions.”

Get ready for election 2007: June 30 is the deadline for public servants (employees of government, local authorities, academia, parastatals, judiciary, military, others) who intend to contest for parliamentary seats in this years election to resign from their jobs.

Meet the President: A business roundtable with Kenyan government leaders on July 17 & 18 in Nairobi. Speakers include H. E. President Mwai Kibaki and Ministers Amos Kimunya, Mukhisa Kituyi, and John Koech

Africa investor Awards : The 2007 awards will be handed down on 8 November in Lagos, Nigeria. Kenyan nominees short listed include;
– The Nairobi Stock Exchange for Best African Stock Exchange
– Kengen for Best African IPO (also in the running is Stanbic Uganda)
– African Alliance for Best Africa Research Team
– Kenya Commercial Bank for Best Ai 40 company

Deloitte celebrate 100 years at the Nairobi National Park

Deloitte celebrated 100 years of doing business in Kenya last week at the ivory burning site inside the Nairobi National Park

I’m sure Deloitte will exist in another hundred years, but will the Nairobi National Park as we know it, be around in a hundred years?

This has been debated before but it sure to come up again and again as the city rapidly expands into all open land to the South and East.

And with the three-hour traffic jams (more) that some city residents experience daily, each way on roads like Thika Road and Mombasa Road, there is appetite for some improvement.

Decision-makers may find it easier to hive off land than to radically change other aspects of rapid urbanizations such as taxation (increase tax on cars to reduce their numbers), develop a mass public transport system, or infrastructure (more by-pass roads) which in any case would still have to run through the park.

So it’s likely that in a few years you can expect moves to reduce / encroach on the parks 117 sq km to create more residential and commercial space close to the city.

And residents lulled by the offer of more land, easier access to towns, offices and new homes may support the absorption of some park space by the city of Nairobi.

Though the park has stood the test of time and remains largely intact to past encroachment efforts, the animal numbers have diminished as developments to the South have cut off migration paths. Stories of lions or leopards being seen in the Langata area at night have all but disappeared. The Kenya Wildlife Service has proven adept at relocating animals including elephants and rhinos to other parks in the country and would be called upon to do the same here.

The park has few forested areas so it’s easy to see quite far in the park. But at night during the Deloitte function, you could see lights in the distance all around the park, marking the edge of human activity bursting to enter the park.

Good luck to Nairobi National Park over the next 100 years!