Kiharu MP Ndindi Nyoro has alleged that President William Ruto and business interests linked to Nigerian billionaire Aliko Dangote could be seeking majority control of the Kenya Pipeline Company (KPC) through a series of share transactions.
The claims come after Dangote confirmed that his company had acquired a 24.76 per cent stake in KPC in a transaction valued at approximately KSh42.5 billion.
The shares were transferred through a block trade on the Nairobi Securities Exchange on October 19, with public institutions among the reported sellers. The transaction involved about 4.5 billion shares in the state-linked petroleum transporter.
In a statement, Nyoro alleged that public institutions had first been encouraged to acquire KPC shares during its initial public offering before being directed to sell their holdings to a private investor.
He claimed the transactions could form part of a broader plan to increase private ownership of the company, linking the alleged arrangement to Dangote’s investments in Kenya’s energy sector, including the proposed oil refinery in Lamu.
Nyoro further alleged that the government could facilitate a future rights issue, through which an investor could acquire additional shares if other shareholders declined to take up their allocations.
He claimed such a process could dilute the government’s stake and potentially allow the investor to increase its ownership to between 51 and 75 per cent, depending on whether other shareholders participated.
However, the proposed rights issue and the alleged plan to secure majority control have not been independently established.
Dangote’s confirmed acquisition makes him the second-largest shareholder in KPC, according to reports by Business Daily. The transaction followed the company’s listing on the Nairobi Securities Exchange in March 2026.
Public institutions, including the National Social Security Fund, the Public Servants Pension Scheme and other state-backed funds, had invested billions of shillings in KPC during the initial public offering.
The share sale has raised questions about the disposal of public institutions’ investments, particularly following their participation in the IPO less than eight months earlier.
Nyoro has called for the disclosure of the shareholding structure of the company behind Dangote’s acquisition, as well as greater transparency over agreements relating to major investments in the country’s energy sector.
President Ruto has defended the transfer of the KPC shares, saying private investment would help mobilise capital for strategic infrastructure.
The President’s public remarks did not confirm the alleged plan for a future rights issue or a coordinated effort to secure majority ownership of KPC.
