Centum Investments Company Plc used internally produced cash to pay off Sh2.3 billion in debt after efforts to collect money through the sale of its interest in Sidian Bank to Nigeria’s Access Bank fell through.
The transaction fell through in the middle of January, despite the Nairobi Stock Exchange-listed company’s plans to sell its whole 83.4 percent ownership in Sidian Bank to the Nigerian lender for Sh4.3 billion and use some of the proceeds to pay down debt.
According to James Mworia, chief executive of Centum, the company has utilised money from land sales and debt repayments from its subsidiaries.
The share closed Monday at Sh9.06, marking a 6.84 percent year-to-date return. Centum’s market worth is Sh6.03 billion, which is less than the Sh41.3 billion book value it stated in its most recent financial report.