Petition filed to block proposed EABL share transfer

Citizen Reporter
By Citizen Reporter May 09, 2026 06:24 (EAT)
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Petition filed to block proposed EABL share transfer

Beer bottles pass through a conveyor belt along a production line at the East African Breweries' microbrewery as the company released its half-year results in Ruaraka, Nairobi, Kenya, January 26, 2024. REUTERS/Monicah Mwangi//File Photo

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A group of Kenyan petitioners has moved to the High Court seeking to stop a planned shareholding transaction involving brewing giant East African Breweries Limited, Japanese beverage company Asahi Group Holdings and multinational drinks firm Diageo plc.

The petition, filed by JILK Construction Company Ltd alongside Betha Wanjiru Ndirangu, Mary Njeri Wanyutu and Sammy Maina Kamau, seeks urgent conservatory orders to block the proposed transfer of Diageo’s shareholding in EABL pending investigations into alleged human rights and corporate governance violations.

Also named in the suit are the Cabinet Secretary for the National Treasury and Economic Planning, the Attorney General, the Capital Markets Authority and the Competition Authority of Kenya.

Through lawyer Kibe Muingai, the petitioners want the court to prevent the parties involved from proceeding with the transaction until the matter is fully heard and determined.

The applicants argue that the deal should not be approved before the Attorney General confirms that proper human rights due diligence has been carried out in line with the United Nations Guiding Principles on Business and Human Rights.

They are also seeking orders barring the Capital Markets Authority and the Competition Authority from authorising or facilitating the transaction while the case is pending in court.

Court documents indicate that the dispute arose from complaints filed before the Competition Authority in January 2026 accusing Diageo and EABL of unfair business practices.

The petitioners allege incidents of sexual harassment involving female employees, use of unauthorised personnel in a project and fabrication of evidence in arbitration proceedings.

According to the applicants, the Competition Authority declined to investigate the complaints on grounds that the matter fell outside its mandate.

The petitioners further claim they have been denied an opportunity to appeal because the Competition Tribunal is currently non-operational due to the absence of a chairperson.

As part of the case, they are seeking orders compelling the National Treasury Cabinet Secretary to appoint a chairperson to the tribunal.

Pending the appointment, they want the court to stop the Competition Authority from approving the proposed transaction.

The applicants are also asking the court to compel the Attorney General and the Competition Authority to hear and determine their complaints against Diageo and EABL.

In their filings, the petitioners argue that if the transaction proceeds before their grievances are addressed, it could result in irreversible changes in corporate control and market operations that may be difficult to reverse later.

The petition is supported by affidavits sworn by Kevin John Njuguna and Sammy Maina Kamau.

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