Quickmart Supermarket is preparing to sell up to a 57.5 per cent stake in the retailer through the Nairobi Securities Exchange (NSE), in a multi-billion-shilling deal that will give investors a chance to own part of one of Kenya’s fastest-growing supermarket chains.
The sale will be made by Sokoni Retail Kenya Limited (SRKL), the company that owns Quickmart. SRKL plans to offer two billion shares, representing a 50 per cent stake, but could increase the offer by another 7.5 per cent if demand from investors is strong. The transaction is subject to approval by the Capital Markets Authority and the NSE.
The shares are being sold by Quickmart’s four core investors, including private equity firm Adenia and the supermarket’s founders. Quickmart Chief Executive Officer Peter Kang’iri is also selling part of his stake, while Adenia will remain the main shareholder after the transaction.
If the additional 7.5 per cent option is not taken up, SRKL will retain about 50 per cent of Quickmart. If the full extra stake is sold, its ownership will fall to about 42.5 per cent.
Quickmart, which reported a profit of Sh1.7 billion for the year ended December, plans to offer investors dividends equivalent to 80 per cent of its profits. The proposed listing would also make Quickmart the second supermarket chain listed on the NSE after Uchumi.
Quickmart has grown rapidly since Adenia entered Kenya’s retail sector. Adenia bought Tumaini Supermarket in 2018 and later acquired Quickmart in 2019 after the two businesses had expanded to 24 outlets.
The retailer has since grown to 72 branches across 16 counties and plans to open up to 15 more stores. Its sales increased from Sh29.3 billion in 2021 to Sh50.4 billion in 2024. Quickmart is currently Kenya’s second-largest supermarket chain after Naivas.
The planned sale also marks a rare move by a private equity firm to use the public stock market as an exit route. Such firms have traditionally preferred selling their investments to other investors or strategic buyers. If approved, Quickmart’s entry would give investors another major retail company to consider while allowing the supermarket’s existing shareholders to sell part of their investment.