Kenya Pipeline privatization kicks off as gov't seeks transaction advisors for IPO

The government has formally kicked off the process to privatise the Kenya Pipeline Company (KPC) through an initial public offering (IPO) at the Nairobi Securities Exchange. This marks one of Kenya’s most significant state divestitures in recent years.

In a public notice published in local dailies, the Privatisation Commission, the agency charged with implementing the country’s privatisation program, has invited bids from qualified firms to provide transaction advisory services for the planned IPO following approval by Parliament earlier in the month.

In a notice published on Thursday, the commission announced it is seeking a team of advisors led by a lead transaction advisor to coordinate and execute the Kenya Pipeline Corporation IPO process.

The advisory roles, which have been divided into eight lots, include lead transaction advisory, stockbroking, accounting, legal, advertising, public relations, receiving bank, and registrar services.

Interested firms have been given until October 21, 2025, to submit their proposals.

The commission further announced that the advisors will be selected through a quality cost-based selection (QCBS) method as outlined in the Public Procurement and Asset Disposal Act, 2015.

Although the privatisation of the Kenya Pipeline Company has attracted mixed reactions, the commission says the move aims to unlock KPC’s full commercial potential while allowing ordinary Kenyans to own a share of one of the country’s most strategic enterprises.

The sale is also expected to raise funds to support the 2025/2026 national budget, while at the same time deepening the capital markets and strengthening corporate governance through stock exchange listing and regulatory oversight.

The IPO process was officially launched on October 9, 2025, and the commission expects to conclude the entire transaction by March 31, 2026.

Earlier, the High Court issued a conservatory order restraining the government from proceeding with key steps of the KPC privatisation, barring the State from offering, disposing, transferring, or otherwise dealing with any shares of KPC until the matter was fully heard.

The injunction was a result of a petition filed by the Consumer Federation of Kenya (Cofek), which argued that the process breached the law by failing to ensure transparency, public participation, and proper parliamentary oversight as required under the Privatisation Act and the Constitution.

The High Court later lifted the order blocking debate on the privatisation, allowing MPs to consider the proposal.