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Harambee Stars Head Coach
Adel Amrouche reacts during
Kenyas match against Co-
moros for the AFCON 2015
qualiers at Nyayo National
Stadium. [PHOTO:BONIFACE OKEN-
DO/STANDARD]
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Turn Sh7,000 into Sh100,000 with
soya beans PAGE 10
Students automate greenhouses to
fght food insecurity PAGE 12
Whats holding back parastatal
reforms? PAGE 3
NSE:
Mumias Sugars
plummeting stock
worries shareholders
PAGES 89
Anglo Leasing:
Why Kenya lost UK,
Swiss court cases
Tuesday, July 22, 2014 / The Standard
PAGES 45
The gafe that cost
taxpayers Sh1.4 billion
The entry of US-based General Cable a
distributor and manufacturer of aluminium,
copper and optical bre cables into the
Kenyan market is expected to intensify
competition in the regional cabling industry.
We caught up with the man steering the
ship, Mr David Green, the sub-Saharan Africa
sales and marketing general manager, to
nd out his plans for the millions of dollars
he says he has to spend in the country.
What is your background?
I was born in the city of Leicester, Britain.
I attended Leicester University in the late
70s and studied textile technology, which
dealt with the construction of fabrics.
My love for learning more about the
international market saw me working in
South Africa.
I joined General Cable around 2010/2011
after leaving the post of sales manager at
CBi Electric Aberdare ATC Teleco Cables. I am
currently GCs general manager, sales and
marketing, for sub-Saharan Africa.
What was your rst job?
At 23, I was hired as an assistant
production manager for a company called
Vali Textiles.
And your rst salary?
I was earning around 800 to 1,000 rand
(about Sh6,500 to Sh8,200 at current
exchange rates).
As a young man, what career choices did
you make that set you up for success?
I equipped myself with knowledge in a
eld that I was interested in. My technical
knowhow of manufacturing concepts has
been a very important factor in my career
path.
I was also able to recognise opportunities
and take advantage of them, and I have a
deep understanding of diferent cultures in
the region.
How did you end up in sales after
studying textile technology?
A close friend saw me working once and
told me that I had the characteristics of a
good sales person. I love dealing with people
and I am good at it, so I ventured into sales
in the eld of manufacturing.
Last week, your company made its entry
into the Kenyan market, stirring up the
cabling sector. What are your plans?
We intend to tap into the robust
construction and infrastructure industries,
with a keen eye on the energy, oil and gas
sectors. The upgrade and extension of
infrastructure in the region, coupled with
the recent oil and gas nds, have presented
a signicant case for us to start operations
in East Africa.
Our global expertise and over 165 years of
operations have enabled us roll out products
commensurate with market needs. General
Cables products and services are meeting
the ever-changing needs of our diverse
range of customers everywhere, every day.
What keeps you going at work?
Dealing with diferent cultures, markets
and individuals, and satisfying their needs.
I also have a great boss who makes the
working environment comfortable.
What keeps you up at night?
Worrying that some manufacturing plants
at General Cable require some products to
be made. Also, I tend to worry about the
safety of employees if sales go down.
What do you do when you are not
working?
I play tennis. I have also taken up going to
the gym to keep t.
If you were not in your current job, what
would you be doing?
I would seriously take up a sport like golf,
snow skiing, tennis or rugby.
Family?
I am married. My wife works in South
Africa as an IT lecturer and administrator.
We have two children; my 22-year-old
daughter is a student at a university in
South Africa, while my 20-year-old son is
pursuing some endeavours in the US.
What would you want people to
remember about you?
I want to be remembered as a good
husband to my wife and a fantastic father to
my children.
bizbeat@standardmedia.co.ke
Business Beat
2
Tuesday, July 22, 2014 / The Standard
You have brains in your head. You
have feet in your shoes. You can steer
yourself any direction you choose,
Dr Seuss
Published by: The Standard Group Ltd; Group Managing Editor Print: Kipkoech Tanui; Deputy Managing Editor Daily Editions: Peter Okongo; Production Editor: Richard Kerama; Business Editor: Hussein Mohamed; Weekend Business
Editor: Jevans Nyabiage; Supplements Editor: Julius Mokaya; Senior Sub-Editor: Kagure Gacheche; Sub-Editors: Andrew Watila, John Oyuke; Writers: Jevans Nyabiage, James Anyanzwa, Lillian Kiarie, Macharia Kamau, Frankline
Sunday, Jackson Okoth, Nicholas Waitathu; Manager Print Creative: Dan Weloba; Creative Designer: Elizabeth Karanja; Photography: Standard Team; Facebook: Biz Beat; E-mail: bizbeat@standardmedia.co.ke; Website: http://www.
standardmedia.co.ke All correspondence to Business Beat is assumed to be intended for publication. Business Beat accepts no responsibility for unsolicited manuscripts, artworks or photographs. All rights on publication
remain with the publisher.
>> CORPORATE FOCUS
CorporateInterview
An estimated 1 billion people
watched the 2014 World Cup nal
between Germany and Argentina
thats about one in every seven
citizens of the world. There were
also more tweets about the
tournament before a ball was
kicked than there were for the
entire 2010 World Cup.
These and many other attractive
statistics marked the planets
largest and most watched sporting
event. The month-long tournament
reportedly attracted advertising
and branding worth Sh131.7 billion.
But just how efective were
these campaigns? To get a rough
idea, we asked mSurvey, a mobile
surveys company, to nd out. They
received 73 responses to their
questions (61 per cent male, 39 per
cent female), and these are some
of the results.
Courtesy of mSurvey
bizbeat@standardmedia.co.ke
Mr David Green, sub-Saharan Africa sales and
marketing general manager at General Cable.
[PHOTO: WILBERFORCE OKWIRI/STANDARD]
SurveyoftheWeek
By LILLIAN KIARIE
SuperSport Qatar
KBC Emirates
UBC KLM
Zuku KQ
StarTimes Ethiopian
Which of the following airlines do you associate with the World Cup? On what network did you watch the world Cup?
Which of these brands do you associate most with the World Cup? Which of the following do you associate with the World Cup?
REPORT:
T
he much-hyped public
sector restructuring
process is being held back
by the delayed enactment of
critical laws.
Little progress has been made
eight months after President
Uhuru Kenyatta demanded the
swift implementation of the
recommendations of a task force
he appointed to review the
operations of parastatals in a bid
to eliminate wastage of public
funds, enhance efficiency and
bolster productivity.
The Presidential Task Force
on Parastatal Reforms co-
chaired by Mr Abdikadir
Mohammed, the Governments
constitutional and legal affairs
advisor, and Mr Isaac Awuondo,
the group managing director at
Commercial Bank of Africa
proposed mergers and dissolu-
tion of various parastatals that
would reduce their number to
187 from the current 262.
But a member of the team has
expressed fears that two Bills
meant to manage the parastatal
reforms may face stiff opposition
in Parliament.
STRONG RESISTANCE
Critics read the delay as
indicative of strong resistance
from powerful parastatal chiefs
who see the exercise as threaten-
ing their livelihood. They said
the Government must boldly
push through the reforms that
promise to drastically reduce
ballooning recurrent expendi-
tures. The prolonged delay, they
added, may see the exercise
never take off.
But the authorities maintain
that the passing of the two Bills
Government Owned Entities
Bill 2014 (GOE) and the National
Sovereign Wealth Fund Bill 2014
are the reason for the delay.
The GOE Bill is meant to
ensure parastatals adopt a leaner
and more efficient structure,
meaning some State firms will
have to be shut down or merged
with others to avoid a duplica-
tion of roles.
The National Sovereign
Wealth Fund Bill revamps how
the Government manages its
shareholding in listed companies
like KCB, National Bank and
others. It also considers how
Kenyas new-found mineral
wealth will be managed and
seeks to establish a wealth fund.
Both Bills have been pub-
lished and are awaiting parlia-
mentary debate.
The process has so far been
well undertaken by the pool of
professionals and technocrats
engaged. As per now, we cannot
say we have encountered any
major challenges, but we expect
the politics to intensify when the
two Bills meant to legalise the
process are presented to
Parliament for discussion, the
task force source, who spoke on
condition of anonymity for fear
of reprisal from MPs, said.
Strong opposition to the Bills
is expected because the merger
and dissolution of parastatals
will lead to job losses and
jostling for appointments.
Once the GOE legislation
commences, Cabinet secretaries
shall operationalise the merger
of entities under their mandate,
as well as appoint new boards of
directors for the newly formed
corporations.
According to a progress report
by the Parastatal Reform
Implementation Committee
(PRIC) presented to the Presi-
dent in May but only just made
available to the public, the GOE
was scheduled to be in place by
June 30, 2014.
The report, however, singles
out key outstanding issues with
respect to this proposed
legislation, including a lack of
public and stakeholder consulta-
tions.
Among those yet to be
consulted include the Commis-
sion on the Implementation of
the Constitution (CIC), Commis-
sion on Revenue Allocation
(CRA), Salaries and Remunera-
tion Commission (SRC), Council
of Governors (CoG) and
Parliament.
MERGERS AND DISSOLUTIONS
We are still looking at the
proposed law, which needs to be
amended to effect the reforms;
that is still being finalised. Once
the law is passed, it will set the
stage for all the mergers and
dissolutions, said National
Treasury Cabinet Secretary
Henry Rotich, adding that he
expects the new law to be in
place soon but did not commit
to a timeline.
But even before issues around
the task forces report have been
resolved to enable it begin to be
implemented, the Government
last week announced it would
begin an audit of the public
service in November.
According to Devolution
Cabinet Secretary Anne Waiguru,
Sh2 billion has been sought from
the National Treasury for the
rationalisation programme.
The Government will hire a
private consultant to audit all
estimated 700,000 civil service
employees, including those in
parastatals and counties, with a
view to ascertaining the skills
level and staff numbers required
to run public offices efficiently.
The audit is to be finalised
before July 2015, which is when
Delay: Lack of critical laws, failure
to consult stakeholders inhibiting
implementation of proposals
Truth behind delay in parastatal reforms
the current financial year ends.
The current dispensation
has made it imperative to realign
structures, processes, pro-
grammed, institutions and
staffing to core mandates of the
governments at the national and
county levels so as to ensure a
responsive public service that
meets the expectations of
Kenyans, Ms Waiguru said.
The trouble with this exercise
is that the Uhuru-appointed
teams recommendations, which
propose radical changes in State
agencies, may not have been
implemented by November. The
audit may, therefore, go over
ground already covered and
duplicate recommendations.
Among the parastatals
proposed for dissolution are the
Kenya Yearbook Editorial Board,
National Social Security
Assistance Authority, Privatisa-
tion Commission, Kenya Rural
Roads Authority, Kenya Urban
Roads Authority, Canning Crops
Board, Tourism Research
Institute, Kenya Coconut
Development Authority, Cereals
and Sugar Finance Corporation,
Coffee Development Fund and
Cotton Development Fund.
Others are the Pyrethrum
Board of Kenya (now Pyrethrum
Regulatory Authority), Sisal
Board of Kenya, Tea Board of
Kenya, Coffee Board of Kenya.
Kenya Sugar Board, Horticultural
Crops Development Authority
and Rural Electrification
Authority.
Among those earmarked for
mergers are the Kenya Industrial
Estate, Kenya Tourist Finance
Corporation, Brand Kenya,
Export Promotion Council, Youth
Enterprise Development Fund,
Kenya Investment Authority,
Insurance Regulatory Authority,
Capital Markets Authority,
Retirement Benefits Authority,
Sacco Societies Regulatory
Authority and Kenya Wildlife
Service.
And as the implementation of
these reforms continues to be
delayed, executives in some State
corporations are reportedly
getting jittery and holding off
making any major decisions or
investments as uncertainty
plagues their firms futures.
LOW PRODUCTIVITY
A chief executive who spoke
to Business Beat on condition of
anonymity, because of the
sensitivity of the matter, added
that the situation has also
contributed to low productivity
in several Government agencies.
Most of the workers are not
sure of their future in the
institutions. They are no longer
enthusiastic in executing their
duties as they are not sure
whether they will be sacked or
redeployed, even though the
Government has assured them
that there be no job losses.
However, Deputy President
William Ruto last year said the
Government planned to send
home more than 100,000 civil
servants to reduce the unsus-
tainable public wage bill that
currently stands at more than
Sh500 billion a year.
Market analysts said that
although the reforms are
expected to enhance efficiency
in Government operations, this
may not be achieved if the
process is mishandled.
A CEO in charge of a para-
statal within the ministry of East
African Affairs, Commerce and
Tourism said the proposed
reforms have the potential to
greatly improve service delivery.
The current system allows
for exploitation, low productivity
and is vulnerable to corruption,
among other malpractices. I
subscribe to the process as it will
eradicate poor service delivery to
Kenyans. Amalgamating the
State agencies will inculcate new
thinking in Government,
guaranteeing optimal perfor-
mance.
According to the PRIC
progress report, a merger
framework has been approved
and 13 parastatals out of 36 have
already been merged, pending
operationalisation of the Bill.
However, the mergers were
based on the Agriculture,
Fisheries, and Food Authority
(AFFA) Act of 2013, operation-
alised in January this year.
RIGHTFUL DUES
The State agencies merged
shall become directorates under
the new corporation, and their
CEOs made heads of director-
ates.
However, they will only be
allowed to serve their unexpired
term for a maximum period of
six months, thereafter, their
contracts shall be reviewed. But
no new contract of service will
be offered to a CEO who has
served in the same agency for
two terms,.
All other staff shall be
presumed to be employees of the
new GOE, though those found
not fitting in the new establish-
ment may be redeployed
elsewhere in the public service
or retrenched and paid their
rightful dues.
The presidential task force
also recommended a holding
company, the Government
Investment Corporation (GIC),
be formed to manage the
reforms.
bizbeat@standardmedia.co.ke
y B JAMES ANYANZWA AND
NICHOLAS WAITATHU
Sh2b
The amount of money the
National Treasury has been
asked to release to enable
an audit of the public
service.
The current dispensation has made it
imperative to realign structures,
processes, programmes, institutions
and staffing, AnneWaiguru
imperative to realign structures,
processes, programmes, institutions
and staffing, and staffing and staffing AnneWaiguru
The current dispensation has made it
imperative to realign structures,
Tuesday, July 22, 2014 / The Standard
3
Business Beat
>> PUBLIC SERVICE
Devolution Cabinet Secretary Anne Waiguru.
Judgement: Taxpayers may be forced to
pay up once again in nal case over security
contracts because country continues to
base its defence on invalidated report
K
enya could be on the
verge of losing another
Anglo Leasing-related
case. This comes amid reports
of a major blunder by the
National Treasury that could
grossly undermine the countrys
FORENSIC AUDIT:
defence and cost taxpayers
billions of shillings.
National Treasury Cabinet
Secretary Henry Rotich last
week said the Government is
likely to go to court over the last
Anglo Leasing-related case, and
admitted the chances of
winning could not be guaran-
teed.
He added that all but one
of the disputes related to
the 18 security contracts
have been resolved.
The fact is that
there are no court
cases; we paid and
finished every-
thing. They have
all been resolved
except one,
which is still
lingering and
has the potential
of going to court
and which we
could win or lose.
That is the
position, Mr
Rotich told Business
Beat.
Although Rotich
did not mention the
exact case, reference
has been made to a
major slip-up by the
National Treasury (then the
ministry of Finance) in 2007
when it broke the law by hiring
PricewaterhouseCoopers (PwC)
to investigate graft allegations
linked to Anglo Leasing
contracts.
The firms report is the only
forensic investigation done on
the contracts, and Kenya has
been basing its argument for
the recovery of money already
paid out on it.
However, this report was
invalidated by the High Court
in 2008 on the grounds that the
Treasury had usurped the
powers of the then Kenya
Anti-Corruption Commission
(KACC) by awarding PwC the
contract to carry out investiga-
tions.
PAST ASSURANCES
Despite its promises to have
the perpetrators punished, the
anti-corruption body has not
honoured assurances it would
do so.
Further, its officials are yet
to come out publicly about the
ruling on PwCs report being
the biggest barrier to the
country successfully prosecut-
ing individuals involved in the
Anglo Leasing deals.
In July 2008, the High Court
ruled that the report by PwC
was tainted with illegalities
because the Treasury was not
empowered in law to sign such
a contract. The Anti Corruption
and Economic Crimes Act
(ACECA) mandated only
KACC to carry out such
investigations.
As a result, Kenya
could not prove corrup-
tion in one of the
contracts where Sh1.4 billion
was paid to Universal Satspace
and First Mercantile Securities
Corporation, companies
associated with businessman
Anura Perera.
The two firms were awarded
the money by courts in
Switzerland and the UK.
In April 8 this year, Attorney
General Githu Muigai wrote to
Rotich, telling him that there
were no sufficient
grounds to appeal the
2012 decision and Kenya
had to pay up.
CRIMINAL PROCEEDINGS
To push through
their case for compen-
sation from the
Government, the
petitioners in London
and Geneva relied on
a 2007 judgement
given in Civil Applica-
tion 359.
The 2007 suit
involved Midland Finance
& Securities and Globetel
Inc (petitioners), with the
Attorney General and KACC
as respondents.
The
petitioners claimed they feared
the findings of the investiga-
tions by PwC may be wrongfully
used by the AG and KACC to
commence criminal proceed-
ings against them.
They argued that the PwC
contract was illegal as only
KACC was empowered by law to
investigate the matter.
y B JAMES ANYANZWA
The fact is that there are no court cases. We
paid and finished everything. They have all
been resolved except one,
HenryRotich
Attorney General Githu Muigai. President Uhuru Kenyatta.
Anglo Leasing: Why Kenya
may lose another case
Anglo Leasing: Why Kenya
may lose another case
Business Beat
4
Tuesday, July 22, 2014 / The Standard
The fact is that there are no court cases. We
paid and finished everything. They have all
been resolved except one,
HenryRotich
The fact is that there are no court cases. We
paid and finished everything. They have all
SPECIAL REPORT <<
Turn Sh7,000 into Sh100,000 with
soya beans PAGE 10
Students automate greenhouses to
fght food insecurity PAGE 12
Whats holding back parastatal
reforms? PAGE 3
NSE:
Mumias Sugars
plummeting stock
worries shareholders
PAGES 89
Anglo Leasing:
Why Kenya lost UK,
Swiss court cases
Tuesday, July 22, 2014 / The Standard
PAGES 45
The gafe that cost
taxpayers Sh1.4 billion
The entry of US-based General Cable a
distributor and manufacturer of aluminium,
copper and optical bre cables into the
Kenyan market is expected to intensify
competition in the regional cabling industry.
We caught up with the man steering the
ship, Mr David Green, the sub-Saharan Africa
sales and marketing general manager, to
nd out his plans for the millions of dollars
he says he has to spend in the country.
What is your background?
I was born in the city of Leicester, Britain.
I attended Leicester University in the late
70s and studied textile technology, which
dealt with the construction of fabrics.
My love for learning more about the
international market saw me working in
South Africa.
I joined General Cable around 2010/2011
after leaving the post of sales manager at
CBi Electric Aberdare ATC Teleco Cables. I am
currently GCs general manager, sales and
marketing, for sub-Saharan Africa.
What was your rst job?
At 23, I was hired as an assistant
production manager for a company called
Vali Textiles.
And your rst salary?
I was earning around 800 to 1,000 rand
(about Sh6,500 to Sh8,200 at current
exchange rates).
As a young man, what career choices did
you make that set you up for success?
I equipped myself with knowledge in a
eld that I was interested in. My technical
knowhow of manufacturing concepts has
been a very important factor in my career
path.
I was also able to recognise opportunities
and take advantage of them, and I have a
deep understanding of diferent cultures in
the region.
How did you end up in sales after
studying textile technology?
A close friend saw me working once and
told me that I had the characteristics of a
good sales person. I love dealing with people
and I am good at it, so I ventured into sales
in the eld of manufacturing.
Last week, your company made its entry
into the Kenyan market, stirring up the
cabling sector. What are your plans?
We intend to tap into the robust
construction and infrastructure industries,
with a keen eye on the energy, oil and gas
sectors. The upgrade and extension of
infrastructure in the region, coupled with
the recent oil and gas nds, have presented
a signicant case for us to start operations
in East Africa.
Our global expertise and over 165 years of
operations have enabled us roll out products
commensurate with market needs. General
Cables products and services are meeting
the ever-changing needs of our diverse
range of customers everywhere, every day.
What keeps you going at work?
Dealing with diferent cultures, markets
and individuals, and satisfying their needs.
I also have a great boss who makes the
working environment comfortable.
What keeps you up at night?
Worrying that some manufacturing plants
at General Cable require some products to
be made. Also, I tend to worry about the
safety of employees if sales go down.
What do you do when you are not
working?
I play tennis. I have also taken up going to
the gym to keep t.
If you were not in your current job, what
would you be doing?
I would seriously take up a sport like golf,
snow skiing, tennis or rugby.
Family?
I am married. My wife works in South
Africa as an IT lecturer and administrator.
We have two children; my 22-year-old
daughter is a student at a university in
South Africa, while my 20-year-old son is
pursuing some endeavours in the US.
What would you want people to
remember about you?
I want to be remembered as a good
husband to my wife and a fantastic father to
my children.
bizbeat@standardmedia.co.ke
Business Beat
6
Tuesday, July 22, 2014 / The Standard
You have brains in your head. You
have feet in your shoes. You can steer
yourself any direction you choose,
Dr Seuss
Published by: The Standard Group Ltd; Group Managing Editor Print: Kipkoech Tanui; Deputy Managing Editor Daily Editions: Peter Okongo; Production Editor: Richard Kerama; Business Editor: Hussein Mohamed; Weekend Business
Editor: Jevans Nyabiage; Supplements Editor: Julius Mokaya; Senior Sub-Editor: Kagure Gacheche; Sub-Editors: Andrew Watila, John Oyuke; Writers: Jevans Nyabiage, James Anyanzwa, Lillian Kiarie, Macharia Kamau, Frankline
Sunday, Jackson Okoth, Nicholas Waitathu; Manager Print Creative: Dan Weloba; Creative Designer: Elizabeth Karanja; Photography: Standard Team; Facebook: Biz Beat; E-mail: bizbeat@standardmedia.co.ke; Website: http://www.
standardmedia.co.ke All correspondence to Business Beat is assumed to be intended for publication. Business Beat accepts no responsibility for unsolicited manuscripts, artworks or photographs. All rights on publication
remain with the publisher.
>> CORPORATE FOCUS
CorporateInterview
An estimated 1 billion people
watched the 2014 World Cup nal
between Germany and Argentina
thats about one in every seven
citizens of the world. There were
also more tweets about the
tournament before a ball was
kicked than there were for the
entire 2010 World Cup.
These and many other attractive
statistics marked the planets
largest and most watched sporting
event. The month-long tournament
reportedly attracted advertising
and branding worth Sh131.7 billion.
But just how efective were
these campaigns? To get a rough
idea, we asked mSurvey, a mobile
surveys company, to nd out. They
received 73 responses to their
questions (61 per cent male, 39 per
cent female), and these are some
of the results.
Courtesy of mSurvey
bizbeat@standardmedia.co.ke
Mr David Green, sub-Saharan Africa sales and
marketing general manager at General Cable.
[PHOTO: WILBERFORCE OKWIRI/STANDARD]
SurveyoftheWeek
By LILLIAN KIARIE
SuperSport Qatar
KBC Emirates
UBC KLM
Zuku KQ
StarTimes Ethiopian
Which of the following airlines do you associate with the World Cup? On what network did you watch the world Cup?
Which of these brands do you associate most with the World Cup? Which of the following do you associate with the World Cup?
INDUSTRY NEWS <<
The future sees us establishing an even
greater foothold, with Kenya now one of
the primary technology innovation
hubs in sub-Saharan Africa, GeorgeZhu
CAMPAIGN:
New entrants eye bigger slice of Kenyas smartphone market
K
enyan consumers stand
to win big as the battle for
market share in the
countrys lucrative smartphone
market heats up, a move likely
to see the cost of handsets come
down.
New entrants like Huawei
and Tecno Mobile have
increased their offerings in a
bid to claw some market share
from handset makers Samsung
and Nokia who have tradition-
ally dominated the market.
PHONE PENETRATION
In the past two weeks, both
Huawei and Tecno have
launched new high-end
smartphones at events attend-
ed by Information and Commu-
nication Cabinet Secretary Fred
Matiangi.
Tecno, which has increased
its media campaigns, confirmed
the firms strategy to win over
new consumers from estab-
lished competitors and increase
its market share.
While in the process of
deepening our mobile phone
penetration in East Africa, we
have developed a dedicated
focus on driving smartphone
adoption, said Tecno Mobile
President George Zhu.
We are committed to doing
business with Kenya while
addressing the mobile phone
demands, and the future sees us
establishing an even greater
foothold, with Kenya now one
of the primary technology
innovation hubs in sub-Saharan
Africa.
Despite the countrys
impressive mobile phone
penetration, which stands at 78
per cent according to the latest
statistics from the Communica-
tions Authority of Kenya (CA),
the uptake of smartphones is
much lower, though it has been
steadily increasing.
Data from industry experts
indicates that about one in four
phone users in Kenya have
access to a smartphones. Most
users, particularly in the rural
areas, have feature phones.
It is this 75 per cent of the
market still on feature phones
that has smartphone vendors
trying to outdo each other to
reap the potential gains.
Microsoft and Huawei last
year entered into a partnership
to launch the Windows Phone
4Afrika, a low-cost Windows
8-powered smartphone with
region-specific features such as
a long-lasting battery and a
display that remains clear under
bright sunlight.
In the last two years, Huawei
has launched no less than eight
products targeting both the low,
mid and high-end local market
segments.
The Ideos, which broke
ground as the first low-cost
smartphone, sold hundreds of
thousands of units and still
remains the most popular
smartphone device in the
country to date.
According to industry
projections from technology
firm Qualcomm, which
manufacturers cellphone
components, Kenyas rapid
adoption of smartphones and
portable devices is set to
increase even more as the cost
of mobile technology develop-
ment declines.
LOW COSTS
The current trends in the
mobile data ecosystem indicate
that the cost of putting together
smartphones has greatly come
down, and we are set to see
more affordable entry level
devices make their way into the
market, said Mr Billy Owino,
the director of business
development at Qualcomm.
Mr Owino added that
handset manufactures and
operators have reaped the
benefits of low production costs
and the savings will likely be
passed down to consumers,
particularly those in developing
countries.
fsunday@standardmedia.co.ke
The
current
trends in
the mobile
data
ecosystem
indicate
that the
cost of
putting
together
smart-
phones has
greatly
come
down.
y B FRANKLINE SUNDAY
ICT Cabinet Secretary Fred Matiangi.
Tuesday, July 22, 2014 / The Standard
7
Business Beat
SIKILIZA RADIO MAISHA KWA FURSA YA KUJISHINDIA TIKITI ZA KIINGILIO.
DJ MARTO SIBUOR
BURUDANI KUTOKA
Nairobi 102.7 | Nyeri 105.7 | Meru 105.1 | Nakuru 104.5 | Kitui 93.8 | Kisumu 105.3 | Mombasa 105.1 | Kericho 90.5 | Edoret 91.1 | KISII 91.3
Friday 25
th
July 2014
R
h
u
m
b
a
n
i
g
h
t
R
h
u
m
b
a
n
i
g
h
t
E
l
d
o
r
e
t
Kiingilio
300/-
RADIO MAISHA IKISHIRIKIANA NA
BELASCO LOUNGE....
I
n January 2007, Mumias
Sugar Company Limiteds
stock turned into a phenom-
enon, with investors taking
bank loans to enable them buy
the shares, then trading at
around Sh50. Top brokers even
advised that a share split would
be ideal because the stock was
too expensive.
At the time, the Government
was reducing its stake in the
countrys most profitable sugar
miller in a second offering after
an initial share sale in 2001.
EAGER INVESTORS
We think that a split in
Mumias shares would make it
more affordable. The company
could consider instituting a 1:5
share split to stimulate further
trading in the shares and
thereby make it easier for
farmers to acquire such shares,
Mr Jimnah Mbaru, currently
Dyer and Blair Investment
Banks chairman, told eager
investors during the bell-
ringing ceremony.
Security officials had a
difficult time controlling the sea
of humanity anxious for a piece
of a stock they believed would
multiply their investment.
Analysts had been wowed by
Mumias plans to produce
ethanol and cogeneration of
electricity from bagasse the
otherwise useless fibre that
remains after the extraction of
juice from sugarcane.
On future prospects, a 16,000
hectare sugarcane project on
the Tana River was thought to
be a permanent solution to the
declining productivity in the
Western Kenya belt.
Mumias, it was said,
presented a model that other
companies should copy if they
hoped to succeed. Its funda-
mentals were strong and poised
to deliver consistently better
results and even bigger
dividends for investors.
FREEFALL
But in one year, the stock
price slumped by a staggering
70 per cent and nothing short of
miracle could possibly reverse
its freefall. On Friday last week,
Mumias Sugar shares closed at
Sh2.60, and investors have been
feeling the heat.
Mr Stephen Oiro is one such
investor. He contemplated
cutting his losses and running
as the stock kept going south,
but he does not know where the
share certificates he was given
by Discount Securities, a stock
broker, are.
I have not been able to
trace those papers for some
time, but they are worthless to
me, said Mr Oiro, who bought
into the offering with his first
salary.
Fall from grace: Investors blame
sugar millers declining fortunes on
years of mismanagement, graft
TAKING STOCK:
BACKGROUND:
PROGRESS:
>> STOCK MARKET STOCK MARKET <<
I have not been able to trace [Mumis Sugar
share certificates] for some time, but they
are worthless to me,
StephenOiro
It is a sum total of gross inefficiencies
and corruption propagated by selfish
interests,
JosephBarasa
He is among an estimated
20,000 investors who helped
the State net over Sh4.5 billion
from that sale alone.
The firms past management
teams have claimed that the
company was struggling to
access sufficient sugarcane for
crushing after tonnes of the
crop were stolen from its
nucleus farms and cheap sugar
was dumped in the market,
making it difficult to offload its
produce.
FINANCIAL MESS
But critics like Mr Joseph
Barasa, a spokesman for a
farmers association, have been
quick to term these claims
excuses to cover up misman-
agement and graft.
It is a sum total of gross
inefficiencies and
corruption
propagated
by
selfish
inter-
ests,
said
Mr
Bara-
sa, a
peti-
tioner in an
ongoing
parliamentary
probe on sugar
smuggling.
Mumias has in the
most recent times been hit by
a series of unfortunate inci-
dents, including protests from
its contracted transporters
leading to suspension of
crushing last month.
But Mr Paul Orem, the chief
executive of Dyer and Blair,
thinks the sugar sector is still
revival at least temporarily,
since he has been contracted in
an acting capacity.
His entry followed the
suspension and later sacking of
Mr Peter Kebati in May,
alongside several members of
his top management.
We can compete with any
company within the Comesa
region, Otolo told reporters last
month when he revealed plans
to reorganise the firms Sh5
billion debt.
question might seem small for
Kenyas biggest sugar miller, the
circumstances as explained by
Otolo indicate Mumias could
be hurting since the owed
figure has not been contested.
The miller got into the
financial mess following a sugar
importation deal that went sour
after a contracted dealer
received Sh460 million from the
firms customers but did not
remit the money to Kenana, a
Sudanese miller.
A third party received Sh460
million from our customers
that was purportedly paid into
Mumias bank accounts, Otolo
said.
Kenana had refused to
release the sugar from a bonded
warehouse in Mombasa,
prompting Mumias to
seek a credit facility
from Equity
Bank to
forestall
a crisis
with
its
cus-
tomers
who had
paid up.
Essentially,
Mumias paid twice for
the sugar in a transaction Otolo
described as very nasty.
But that was only the latest
in a series of blunders that have
dampened the prospects of a
firm whose revenues topped
Sh19 billion at one time.
But the current board is
determined to turn things
around.
Otolo, previously the CEO of
audit firm Ernst & Young
Eastern Africa, is the man
expected to lead the millers
It is now possible for market-savvy
investors to buy and sell shares directly
from an online trading platform without
going through a stockbroker.
This has been made possible by
the automation of various platforms
at the Nairobi Securities Exchange
(NSE), linking the bourse to back of ce
systems at the of ces of stockbrokers
as well as the Central Depository and
Settlement Corporation (CDSC).
One has to be one of our clients
to use the platform. After opening an
account with us as well as another at
the CDSC, we do the usual know-your-
customer procedures, issue a user
name and password and then one can
sign in and begin to trade, said Mr
Nkoregamba Mwebesa, the CEO at SBG
Securities Limited, a member of the
Standard Bank Group of South Africa.
The online platform gives clients
real time access to transactional
statements, portfolio valuation contract
notes and order status tracking.
This system is mainly for those who
know what they are doing and have
enough exposure to the market. We,
however, provide tutorials for those
nding it dif cult to navigate the
platform, said Mr Mwebesa.
One can create their own portfolio
based on the nancial reports we ofer
as well as media reports from both local
and foreign publications.
He added that the NSE has had a
history of complaints over the conduct
of stockbrokers, especially after the
collapse of Francis Thuo and Nyaga
stockbrokers, which went down with
investors cash.
SECURE TRADING
This online platform allows one
to control and decide on the price
of a stock and the quantity in real
time. It is also secure and dif cult for
unauthorised trading to happen. It is
also dif cult for one to get unauthorised
access to cash in the bank.
Online trading is attracting mostly
the younger generation of investors
who are able to take advantage of the
convenience of the Internet.
Commissions are negotiable
depending on the size of ones portfolio.
A 2.17 per cent commission, which also
includes levies to the NSE and CDSC
as well as an investor compensation
fund, is charged for deals worth up to
Sh100,000. Amounts above this attract
a negotiable commission rate.
Dealing in shares and stocks in Kenya
started in the 1920s when the country was
still a British colony. However, the market
was not formal as there did not exist any
regulations to govern stockbroking activities.
Trading took place on the basis of a
gentlemans agreement. Standard
commissions were charged, with clients
obligated to honour their contractual
commitments.
At the time, stockbroking was a sideline
business conducted by accountants,
auctioneers, estate agents and lawyers
who met to exchange prices over a cup of
cofee. Because these rms were engaged in
other areas of specialisation, the need for
association did not arise.
Dealers would meet at the Stanley Hotel
in Nairobi to set prices for the day. Each one
would go back to their of ce and then trade
on the phone in what was known as a call over
system, said Mr Nkoregamba Mwebesa, SBG
Securities Limiteds chief executive.
In 1951, estate agent Francis Drummond
established the rst professional
stockbroking rm. He also approached the
then Finance minister of Kenya, Sir Ernest
Vasey, and impressed upon him the idea of
setting up a stock exchange in East Africa.
The two approached London Stock
Exchange of cials in July 1953 and they
agreed to recognise the setting up of the
Nairobi Stock Exchange as an overseas stock
exchange.
In 1954, the Nairobi Stock Exchange
was formed as a voluntary association of
stockbrokers, namely Francis Drummond
and Dyer and Blair, and registered under the
Societies Act, said Mr Mwebesa.
Since Africans and Asians were not
permitted to trade in securities until after
the attainment of independence in 1963, the
business of dealing in shares was conned to
the resident European community.
At Independence, stock market activity
slumped due to uncertainty about the future
of Kenya.
The rst privatisation at the bourse was
done in 1988, with the Government selling a
20 per cent stake in Kenya Commercial Bank.
On February 18, 1994, the NSE 20-Share
Index registered an all-record high of 5030
points and was rated by the International
Finance Corporation (IFC) the best-
performing market in the world.
The Government licensed more brokers,
and a white board and open cry trading
system was introduced, said Mwebesa
In July 1994, the NSE set up a computerised
delivery and settlement system (DASS).
In 1996, the largest share issue in the
history of NSE, the privatisation of Kenya
Airways, was held, with more than 110,000
shareholders acquiring a stake in the airline.
On September 11, 2006, live trading was
implemented.
This is the time the exchange went fully
electronic, although players were initially
outraged and resisted the change, said
Mwebesa.
The East African Securities Exchanges
Association came into being in 2004,
following the signing of an agreement
between the Dar-es-Salaam Stock Exchange,
Uganda Securities Exchange and NSE. An
MoU between the NSE and USE was signed in
November 2006 to allow listed companies in
Kenya and Uganda to cross list, facilitating
the growth and development of the regional
securities markets.
In February 2007, NSE upgraded its
website to boost its data vending business,
and in July the same year, reviewed its index
and announced the companies that would
constitute the NSE 20-Share Index.
A Wide Area Network (WAN) platform was
implemented in 2007, eliminating the need
for brokers to send their staf (dealers) to the
trading oor to conduct business.
In 2008, the NSE All Share Index (NASI)
was introduced as an alternative index. Its
measure is an overall indicator of market
performance. Because it incorporates all the
traded shares of the day, its attention is on
overall market capitalisation rather than
price movements of select counters.
The Complaints Handling Unit (CHU)
was launched in August 2009 to bridge the
condence gap with NSE retail investors.
In December 2009, the NSE marked a
milestone by uploading all Government bonds
on the Automated Trading System (ATS).
In July 2011, the stock exchange changed
its name to the Nairobi Securities Exchange
Limited. The change reected its strategic
plan to evolve into a full service securities
exchange that supports trading, clearing and
settlement of equities, debt, derivatives and
associated instruments.
In March 2012, the FTSE NSE Kenya 15 Index
and the FTSE NSE Kenya 25 Index were made
available on the NSE website, giving investors
a reliable indication of the equity markets
performance during trading hours.
Internet trading has been the latest
addition to the overall automation process at
the NSE, said Mwebesa.
jokoth@standardmedia.co.ke
Negotiations with seven
commercial banks, he said, had
begun to provide the much-
needed credit that would help
the company deal with its cash
flow problems.
RESCUE PLAN
At least 300 employees in
different cadres would also be
retrenched in a rescue plan
hatched by the board.
Mumias has been silent on
the Tarda project, which would
require a Sh15 billion invest-
ment upfront, but whose
benefits would include mod-
ernising farming techniques
and growing faster-maturing
cane varieties.
The proposed project would
also help the miller reduce its
reliance on small-scale farmers
in its backyard who have in
some instances sold their
produce to the competition.
mmichira@standardmedia.co.ke
Online trading at the
NSE gains momentum
Automation milestones: The changing face of securities exchange
Sh2.60
The price Mumias Sugar
shares closed at on Friday,
from highs of around Sh50
in 2007.
y B MOSES MICHIRA
y B JACKSON OKOTH
y B JACKSON OKOTH
SBG Securities Limited CEO Nkoregamba Mwebesa.
Mumias plummeting stock worries shareholders
very profitable, which would
explain the entry of several new
private sector players, such as
Kwale International Company.
However, as it is now,
Mumias is teetering on the
brink of bankruptcy, according
to its managing director, Mr
Coutts Otolo, who said that a
lender was seeking its dissolu-
tion.
Mr Otolo stunned MPs
earlier this month when he
said that the creditor, since
established by The Stan-
dard to be Equity Bank,
Kenyas largest
financial
institution
by customer numbers,
had asked a court to
wind up the miller
over a Sh93 million
debt.
While the
amount
in
Business Beat
8
Tuesday, July 22, 2014 / The Standard
Tuesday, July 22, 2014 / The Standard
9
Business Beat
I
n January 2007, Mumias
Sugar Company Limiteds
stock turned into a phenom-
enon, with investors taking
bank loans to enable them buy
the shares, then trading at
around Sh50. Top brokers even
advised that a share split would
be ideal because the stock was
too expensive.
At the time, the Government
was reducing its stake in the
countrys most profitable sugar
miller in a second offering after
an initial share sale in 2001.
EAGER INVESTORS
We think that a split in
Mumias shares would make it
more affordable. The company
could consider instituting a 1:5
share split to stimulate further
trading in the shares and
thereby make it easier for
farmers to acquire such shares,
Mr Jimnah Mbaru, currently
Dyer and Blair Investment
Banks chairman, told eager
investors during the bell-
ringing ceremony.
Security officials had a
difficult time controlling the sea
of humanity anxious for a piece
of a stock they believed would
multiply their investment.
Analysts had been wowed by
Mumias plans to produce
ethanol and cogeneration of
electricity from bagasse the
otherwise useless fibre that
remains after the extraction of
juice from sugarcane.
On future prospects, a 16,000
hectare sugarcane project on
the Tana River was thought to
be a permanent solution to the
declining productivity in the
Western Kenya belt.
Mumias, it was said,
presented a model that other
companies should copy if they
hoped to succeed. Its funda-
mentals were strong and poised
to deliver consistently better
results and even bigger
dividends for investors.
FREEFALL
But in one year, the stock
price slumped by a staggering
70 per cent and nothing short of
miracle could possibly reverse
its freefall. On Friday last week,
Mumias Sugar shares closed at
Sh2.60, and investors have been
feeling the heat.
Mr Stephen Oiro is one such
investor. He contemplated
cutting his losses and running
as the stock kept going south,
but he does not know where the
share certificates he was given
by Discount Securities, a stock
broker, are.
I have not been able to
trace those papers for some
time, but they are worthless to
me, said Mr Oiro, who bought
into the offering with his first
salary.
Fall from grace: Investors blame
sugar millers declining fortunes on
years of mismanagement, graft
TAKING STOCK:
BACKGROUND:
PROGRESS:
>> STOCK MARKET STOCK MARKET <<
I have not been able to trace [Mumis Sugar
share certificates] for some time, but they
are worthless to me,
StephenOiro
It is a sum total of gross inefficiencies
and corruption propagated by selfish
interests,
JosephBarasa
He is among an estimated
20,000 investors who helped
the State net over Sh4.5 billion
from that sale alone.
The firms past management
teams have claimed that the
company was struggling to
access sufficient sugarcane for
crushing after tonnes of the
crop were stolen from its
nucleus farms and cheap sugar
was dumped in the market,
making it difficult to offload its
produce.
FINANCIAL MESS
But critics like Mr Joseph
Barasa, a spokesman for a
farmers association, have been
quick to term these claims
excuses to cover up misman-
agement and graft.
It is a sum total of gross
inefficiencies and
corruption
propagated
by
selfish
inter-
ests,
said
Mr
Bara-
sa, a
peti-
tioner in an
ongoing
parliamentary
probe on sugar
smuggling.
Mumias has in the
most recent times been hit by
a series of unfortunate inci-
dents, including protests from
its contracted transporters
leading to suspension of
crushing last month.
But Mr Paul Orem, the chief
executive of Dyer and Blair,
thinks the sugar sector is still
revival at least temporarily,
since he has been contracted in
an acting capacity.
His entry followed the
suspension and later sacking of
Mr Peter Kebati in May,
alongside several members of
his top management.
We can compete with any
company within the Comesa
region, Otolo told reporters last
month when he revealed plans
to reorganise the firms Sh5
billion debt.
question might seem small for
Kenyas biggest sugar miller, the
circumstances as explained by
Otolo indicate Mumias could
be hurting since the owed
figure has not been contested.
The miller got into the
financial mess following a sugar
importation deal that went sour
after a contracted dealer
received Sh460 million from the
firms customers but did not
remit the money to Kenana, a
Sudanese miller.
A third party received Sh460
million from our customers
that was purportedly paid into
Mumias bank accounts, Otolo
said.
Kenana had refused to
release the sugar from a bonded
warehouse in Mombasa,
prompting Mumias to
seek a credit facility
from Equity
Bank to
forestall
a crisis
with
its
cus-
tomers
who had
paid up.
Essentially,
Mumias paid twice for
the sugar in a transaction Otolo
described as very nasty.
But that was only the latest
in a series of blunders that have
dampened the prospects of a
firm whose revenues topped
Sh19 billion at one time.
But the current board is
determined to turn things
around.
Otolo, previously the CEO of
audit firm Ernst & Young
Eastern Africa, is the man
expected to lead the millers
It is now possible for market-savvy
investors to buy and sell shares directly
from an online trading platform without
going through a stockbroker.
This has been made possible by
the automation of various platforms
at the Nairobi Securities Exchange
(NSE), linking the bourse to back of ce
systems at the of ces of stockbrokers
as well as the Central Depository and
Settlement Corporation (CDSC).
One has to be one of our clients
to use the platform. After opening an
account with us as well as another at
the CDSC, we do the usual know-your-
customer procedures, issue a user
name and password and then one can
sign in and begin to trade, said Mr
Nkoregamba Mwebesa, the CEO at SBG
Securities Limited, a member of the
Standard Bank Group of South Africa.
The online platform gives clients
real time access to transactional
statements, portfolio valuation contract
notes and order status tracking.
This system is mainly for those who
know what they are doing and have
enough exposure to the market. We,
however, provide tutorials for those
nding it dif cult to navigate the
platform, said Mr Mwebesa.
One can create their own portfolio
based on the nancial reports we ofer
as well as media reports from both local
and foreign publications.
He added that the NSE has had a
history of complaints over the conduct
of stockbrokers, especially after the
collapse of Francis Thuo and Nyaga
stockbrokers, which went down with
investors cash.
SECURE TRADING
This online platform allows one
to control and decide on the price
of a stock and the quantity in real
time. It is also secure and dif cult for
unauthorised trading to happen. It is
also dif cult for one to get unauthorised
access to cash in the bank.
Online trading is attracting mostly
the younger generation of investors
who are able to take advantage of the
convenience of the Internet.
Commissions are negotiable
depending on the size of ones portfolio.
A 2.17 per cent commission, which also
includes levies to the NSE and CDSC
as well as an investor compensation
fund, is charged for deals worth up to
Sh100,000. Amounts above this attract
a negotiable commission rate.
Dealing in shares and stocks in Kenya
started in the 1920s when the country was
still a British colony. However, the market
was not formal as there did not exist any
regulations to govern stockbroking activities.
Trading took place on the basis of a
gentlemans agreement. Standard
commissions were charged, with clients
obligated to honour their contractual
commitments.
At the time, stockbroking was a sideline
business conducted by accountants,
auctioneers, estate agents and lawyers
who met to exchange prices over a cup of
cofee. Because these rms were engaged in
other areas of specialisation, the need for
association did not arise.
Dealers would meet at the Stanley Hotel
in Nairobi to set prices for the day. Each one
would go back to their of ce and then trade
on the phone in what was known as a call over
system, said Mr Nkoregamba Mwebesa, SBG
Securities Limiteds chief executive.
In 1951, estate agent Francis Drummond
established the rst professional
stockbroking rm. He also approached the
then Finance minister of Kenya, Sir Ernest
Vasey, and impressed upon him the idea of
setting up a stock exchange in East Africa.
The two approached London Stock
Exchange of cials in July 1953 and they
agreed to recognise the setting up of the
Nairobi Stock Exchange as an overseas stock
exchange.
In 1954, the Nairobi Stock Exchange
was formed as a voluntary association of
stockbrokers, namely Francis Drummond
and Dyer and Blair, and registered under the
Societies Act, said Mr Mwebesa.
Since Africans and Asians were not
permitted to trade in securities until after
the attainment of independence in 1963, the
business of dealing in shares was conned to
the resident European community.
At Independence, stock market activity
slumped due to uncertainty about the future
of Kenya.
The rst privatisation at the bourse was
done in 1988, with the Government selling a
20 per cent stake in Kenya Commercial Bank.
On February 18, 1994, the NSE 20-Share
Index registered an all-record high of 5030
points and was rated by the International
Finance Corporation (IFC) the best-
performing market in the world.
The Government licensed more brokers,
and a white board and open cry trading
system was introduced, said Mwebesa
In July 1994, the NSE set up a computerised
delivery and settlement system (DASS).
In 1996, the largest share issue in the
history of NSE, the privatisation of Kenya
Airways, was held, with more than 110,000
shareholders acquiring a stake in the airline.
On September 11, 2006, live trading was
implemented.
This is the time the exchange went fully
electronic, although players were initially
outraged and resisted the change, said
Mwebesa.
The East African Securities Exchanges
Association came into being in 2004,
following the signing of an agreement
between the Dar-es-Salaam Stock Exchange,
Uganda Securities Exchange and NSE. An
MoU between the NSE and USE was signed in
November 2006 to allow listed companies in
Kenya and Uganda to cross list, facilitating
the growth and development of the regional
securities markets.
In February 2007, NSE upgraded its
website to boost its data vending business,
and in July the same year, reviewed its index
and announced the companies that would
constitute the NSE 20-Share Index.
A Wide Area Network (WAN) platform was
implemented in 2007, eliminating the need
for brokers to send their staf (dealers) to the
trading oor to conduct business.
In 2008, the NSE All Share Index (NASI)
was introduced as an alternative index. Its
measure is an overall indicator of market
performance. Because it incorporates all the
traded shares of the day, its attention is on
overall market capitalisation rather than
price movements of select counters.
The Complaints Handling Unit (CHU)
was launched in August 2009 to bridge the
condence gap with NSE retail investors.
In December 2009, the NSE marked a
milestone by uploading all Government bonds
on the Automated Trading System (ATS).
In July 2011, the stock exchange changed
its name to the Nairobi Securities Exchange
Limited. The change reected its strategic
plan to evolve into a full service securities
exchange that supports trading, clearing and
settlement of equities, debt, derivatives and
associated instruments.
In March 2012, the FTSE NSE Kenya 15 Index
and the FTSE NSE Kenya 25 Index were made
available on the NSE website, giving investors
a reliable indication of the equity markets
performance during trading hours.
Internet trading has been the latest
addition to the overall automation process at
the NSE, said Mwebesa.
jokoth@standardmedia.co.ke
Negotiations with seven
commercial banks, he said, had
begun to provide the much-
needed credit that would help
the company deal with its cash
flow problems.
RESCUE PLAN
At least 300 employees in
different cadres would also be
retrenched in a rescue plan
hatched by the board.
Mumias has been silent on
the Tarda project, which would
require a Sh15 billion invest-
ment upfront, but whose
benefits would include mod-
ernising farming techniques
and growing faster-maturing
cane varieties.
The proposed project would
also help the miller reduce its
reliance on small-scale farmers
in its backyard who have in
some instances sold their
produce to the competition.
mmichira@standardmedia.co.ke
Online trading at the
NSE gains momentum
Automation milestones: The changing face of securities exchange
Sh2.60
The price Mumias Sugar
shares closed at on Friday,
from highs of around Sh50
in 2007.
y B MOSES MICHIRA
y B JACKSON OKOTH
y B JACKSON OKOTH
SBG Securities Limited CEO Nkoregamba Mwebesa.
Mumias plummeting stock worries shareholders
very profitable, which would
explain the entry of several new
private sector players, such as
Kwale International Company.
However, as it is now,
Mumias is teetering on the
brink of bankruptcy, according
to its managing director, Mr
Coutts Otolo, who said that a
lender was seeking its dissolu-
tion.
Mr Otolo stunned MPs
earlier this month when he
said that the creditor, since
established by The Stan-
dard to be Equity Bank,
Kenyas largest
financial
institution
by customer numbers,
had asked a court to
wind up the miller
over a Sh93 million
debt.
While the
amount
in
Business Beat
8
Tuesday, July 22, 2014 / The Standard
Tuesday, July 22, 2014 / The Standard
9
Business Beat
MY TIP FOR entrepreneurs is
act now. Seize today; this is your
moment. Dont wait for things to
get to a certain level of perfection
or for all events to align just so;
they never will.
Some years back, I came across
this quote by Og Mandino, the
American author who wrote the
bestseller The Greatest Salesman
in the World, and I try to live up to
it each day: I will act now. I will act
now. I will act now. This is the time.
This is the place. I am the person.
There is a lot of power in what
you tell yourself you are. Dont keep
yourself bogged down in negativity
or allow external circumstances
to dictate your future. Believe in
yourself and seize the moment.
I bid for jobs these days that
I used to think only large rms
would ever qualify for. But Im not
willing to wait 20 years to get to the
adequate size. Im working with
what Ive got. Of course, it does not
always work out as planned, and
I dont get all the bids I want, but
you know what? A lot more often,
Ive been surprised at the jobs I
did qualify for. And if I didnt have
the guts to go after what I want, to
seize the moment, I would not be
where I am today.
It is not easy overcoming years
of hearing youre too young/
too inadequate/too dumb/too
inexperienced to do such and such,
but every time such moments of
self-doubt get into my head, I tell
myself: I will act now. I will act
now. I will act now. This is the time.
This is the place. I am the person.
So far, the mantra is working. Im
taking more risks, getting bigger
payofs and being more tolerant
of failure. Most importantly, Im
doing something with what I have
right now. And I celebrate that even
when I fail.
How many people out there are
sitting on brilliant ideas for one
reason or another? Imagine how
much further ahead we would be as
a country if Kenyans with solutions
to disease, food insecurity, poverty,
oods began to act? You dont have
to get it 100 per cent right; you just
have to be willing to try. It wont
always work out, but so what?
R Doniq
Email your tips for young
entrepreneurs to bizbeat@
standardmedia.co.ke
M
r Joseph Ebu is a
smallholder farmer in
South Teso district in
Busia County.
For years, Mr Ebu has been
growing sugarcane, which is the
cash crop a majority of other
farmers in his county and
neighbouring regions rely on for
an income.
But sugarcane farming has
in recent years been dogged by
numerous challenges, including
high costs of production, low
prices and delays in receiving
payment from sugar millers.
COMMERCIAL BENEFITS
Once you deliver your
sugarcane to the factory, you
have to wait not less than a year
to get paid. Further, the
proceeds are not only delayed,
but are also low, making it
difficult for us to meet our daily
financial obligations, said Ebu.
These frustrations, coupled
with the changing dynamics in
the agriculture sector, prompt-
ed Ebu to diversify his crop, and
he has found success with soya
bean farming.
Five years ago, I invested
Sh2,500 in soya beans. I spent
the money on buying seeds and
preparing the land to plant
Protein rich: Crop matures within
three months after planting and its
beans fetch an average Sh50 a kilo
INVESTMENT IDEAS:
them. Over and above this, I
spent Sh4,500 to fund weeding
and harvesting.
Today, out of the initial
investment of Sh7,000, I earn
between Sh25,000 and Sh30,000
every three months from my
two acres; thats about
Sh100,000 to Sh120,000 a year,
said Ebu.
I am now able to educate
my children in addition to
financing other development
activities within my farm.
He said he used to earn
about Sh25,000 from the same
piece of land when he only grew
sugarcane.
Ebu is the chairman of Akites
Farmers Co-operative Society
(AFCS), a group of 360 members
who have been contracted by
the Kenya Agricultural Research
Institute (Kari) and other food
companies to grow soya beans
for sale.
Over the last five years, a
majority of us have uprooted
our sugarcane and started soya
bean farming. The crop, over
and above its commercial
benefits, boosts vital soil
nutrients and thus increases
land productivity.
Kari buys the beans at
between Sh50 and Sh80 per
kilogramme, while Promasidor
Kenya, a food manufacturer,
BUSINESSTIPS:
Send an email
to bizbeat@
standardmedia.
co.ke for contacts
or information
on the companies
proled in this
pullout.
>> WEALTH CREATION
Today, out of the initial investment
of Sh7,000, I earn between
Sh25,000 and Sh30,000 every three
months, JosephEbu
buys them at Sh50.
Mr Steven Kasamani, a
farmer in Mumias region, said it
is getting more and more
difficult to continue with
sugarcane farming when the
return on investment remains
minimal.
I replaced my one acre of
sugarcane with soya beans,
owing to the challenges that I
was facing, he said.
Mr Kasamani is the chair-
man of the Mumias District
Federation (MDF) of soya bean
farmers, a group of over 500
farmers currently growing the
crop. He says the current prices
of the beans are very attractive,
enticing farmers to begin
growing them. Most MDF
members are intercropping
soya with sugarcane.
MATURITY PERIOD
A kilogramme of soya beans
is currently being bought at
Sh50, said Kasamani. It also
has a short maturity period of
only three months.
The crop grows best in warm
climates. The seeds are sown
one to two inches deep and two
to four inches apart in rows 24
to 30 inches apart.
The seeds should not be
soaked or watered too much as
they may crack and germinate
poorly. However, the planting
beds need to be kept moist.
The crop is hardly attacked
by disease or pests, but its pods
should not be handled when
wet or covered with heavy dew
to avoid spreading fungus
spores.
Soya beans contain one of
the highest protein contents (43
per cent) among plant products.
They are also rich in
heart-friendly fats, dietary fibre,
calcium, iron and B-vitamins.
They can also be roasted and
ground to make soya flour, an
extremely rich source of protein
that can be added to any food
to enhance its nutritional
content.
The flour can also be used
alone or in combination with
wheat or other grain flours to
make crisps, sausages, bread or
pancakes.
Soya beans can be processed
to make soy vegetable oil, which
is mainly used for frying and
baking or as a condiment for
salads. Fat-free beans can be
used to make inexpensive,
protein-rich animal feed.
Promasidor Kenya, which
produces Sossi, a brand of soya
pieces, said soya bean produc-
tion in the country is at about
50,000 tonnes per annum.
The firms supply chain
manager, Mr David Inyani, said
they indirectly contracted
about 1,000 small-scale farmers
in Western Kenya through
farmer organisations in 2011 to
start a soya bean cultivation
programme.
VALUE ADDITION
The farmers work with about
10 community based organisa-
tions (CBOs), which provide
structure and accountability.
They also receive training on
value addition to enable them
develop products like soya milk
and soya biscuits.
Sossis popularity has been
driven by the recognition of the
necessity for proteins, especial-
ly in childrens growth, and the
fact that most households in
the country can afford it, said
Mr Mark Williams, the firms
marketing director.
For more information or
contacts, email bizbeat@
standardmedia.co.ke
y B NICHOLAS WAITATHU
Farmer turns Sh7,000 into
Sh100,000 with soya beans
Business Beat
10
Tuesday, July 22, 2014 / The Standard
:HUSTLERS<<
CEO bids to make
roads safer with
hands-free device
L
ast year, an estimated
3,000 Kenyans died in road
accidents thats about
11 people a day. And with few
sectioned-off paths for pedes-
trians or bicycle and motorcycle
riders along our roads, thou-
sands more have been left
severely injured.
Government initiatives like
alcoblow, night travel regula-
tions, populating the roads with
police officers to enforce traffic
rules and decrees to fit every
passenger service vehicle with a
speed governor and safety belts
are expected to lower the death
toll this year.
But research has shown that
many of the accidents that take
place on our roads are a result
of distracted drivers.
How often do you see a
vehicle suddenly slow down or
begin to veer off the road
because its driver is glued to a
mobile phone?
Thousands of accidents,
both minor and major, have
Making a diference: Entrepreneur hopes
to complement State eforts to curb carnage
We would have no music to dance to if
everyone was an engineer, we would have
no sports to enjoy if everyone was a
scientist, Michael EdwinOlulo
ENTREPRENEURS <<
been chalked up to drivers
shifting their eyes from the road
to their phone screen on
hearing a call or text message
filter in. How many times have
you flung your phone to the
floor or into your handbag
because you have spotted a
traffic officer up ahead?
DISASTER AND DEATH
Many drivers imagine they
are ambidextrous enough to
punch in digits and letters while
manoeuvring through traffic.
Too often, the result of this
distraction is disaster and
death.
One man has taken efforts to
stem road carnage in Kenya a
notch higher by procuring a
hands-free device that could
minimise distractions from
mobile phones.
Mr Peter Phillip is the CEO of
Peel Communications Ltd, a
firm that specialises in hands-
free systems. The companys
device, which uses German
technology, can be mounted on
any dashboard to enable a
driver speak on phone without
removing his or her visual focus
from the road ahead.
The hands-free gadget is
small enough to become
inconspicuous, with only a
small one-inch button left on
the dashboard that a driver
pushes to take a call.
I lived in Israel for some
time and noticed that most
drivers used such hands-free
devices in their cars so that they
are able to take calls without
even shifting their eyes from the
road.
It is handy and reduces the
deaths and injury that come
from veering off the road or
having a head-on collision
simply because you were
texting a friend and looked up
too late, said Mr Phillip.
The system costs Sh8,000.
I looked for options that
were not very expensive but
that I could give a good
warranty on so that Kenyans
can afford them and use them
for a long time.
Because the button is so
small and all the wiring is
hidden under the dashboard,
the hands-free gadget does not
spoil the aesthetics of a car, and
it comes with a one-year
guarantee.
Phillip felt that even as he
looked to the Government to
come up with ways of improv-
ing the state of the roads and
ensuring training in driving
schools is rid of corruption and
up to standard, he could, at a
personal and micro-level, make
a difference in the lives of
Kenyans.
A dashboard with Peel Communications hands-free device. INSET: Peel Communications CEO Peter Phillip.
I have always believed that
a person can make a positive
difference to the environment
he or she lives in.
I saw a niche in the market
for hands-free gadgets for
drivers that would assist them
still hold urgent conversations
with clients or friends without
hampering their co-ordination
or focus on the road, that is why
I began to source for and sell
these gadgets.
He said business has been
growing as more people
recognise the need for the
devices he sells and realise their
prices are not prohibitive.
I can see that soon we will
be supplying markets outside
Kenya with these gadgets.
bizbeat@standardmedia.co.ke
Astronomy graduate with a passion for fashion and IT
AFTER 5:
y B SENEIYA KAMOTHO
Michael Edwin Olulo, 24, is a man of
many talents. His skills in tailoring
have seen him build an enviable
reputation in the local fashion
industry, even though he holds a
degree in astronomy and astrophys-
ics, and works in the IT industry.
How would you describe yourself?
I am a charismatic and dynamic
man. I juggle between ofering IT
services such as programming and
web design, and running a bespoke
tailoring company known as 56
Authentique.
How do you juggle fashion and IT?
Its all about discipline. I am very
time conscious and I always carry a
diary with me that helps me organise
my commitments, ensuring I do
everything on time.
What got you into the business of
making suits?
A suit has since time immemorial
been regarded as a piece of clothing
that shows how respected and
successful a man is. It also has very
many details, and if you give it just a
cursory glance, you may miss them. I
decided to take my time to learn how
these amazing pieces of art were
made, and that is how my company,
56 Authentique, came up.
I really love suits and the elegance
that comes with wearing one. I used
to hear people complain about how
unreliable suit tailors were and how
disappointed they were with the poor
quality of what was available. I was
determined to right these wrongs by
being professional and thorough.
How much did you spend on your
rst machine?
My rst tailoring machine cost me
Sh12,000 and I bought it using the
savings that I had accumulated
through my IT work.
My rst clients were my close
friends who really supported me; they
were willing to buy the suits that I
made and from these sales, I was able
to buy more equipment to grow my
business as well as earn a little extra
to meet my needs.
What do you think sets 56 Authen-
tique apart from other tailoring
outts?
We ensure our clients own their
suits and they work for their body
types by tailor making them from
scratch. When it comes to wedding
suits, we work with clients to
understand what they want to achieve
with their theme colours and then
come up with something that meets
these purposes.
Who is your mentor?
My mother. She has been support-
ive from the very beginning. She has
always encouraged me to do what
makes me happy and avoid anything
that would stress me out.
Any celebrity clients?
I have had the chance to tailor for a
couple of celebrities, including
comedian and radio host Jalango and
hip hop artiste Juliani. Kenyans have
started to appreciate my services and
my client base increases by the day,
with news anchors and other
individuals held in esteem getting in
touch.
What would you tell those interested
in starting a side hustle?
You should do what you enjoy and
love. The kind of satisfaction one gets
when the day ends is incomparable to
what one feels when they do what
they do not love. Even your hobbies
can earn you a good living.
To the older generation, support us.
We would have no music to dance to if
everyone was an engineer, we would
have no sports to enjoy if everyone
was a scientist, and we would have no
clothes to make us feel beautiful
without tailors and designers.
bizbeat@standardmedia.co.ke
y B LILIAN KIARIE
Tuesday, July 22, 2014 / The Standard
11
Business Beat
PLAN B:
time crops need it to reduce
wastage.
The system was unveiled at
the recently concluded Galileo
Competition by Intel East Africa
and driven by iHub.
We came up with this idea
during a brainstorming session
to automate the greenhouse
and control the different
parameters in it according to
crop needs, said Mr Mburu.
ENHANCED PRODUCTIVITY
The systems control box
comes with a memory card that
stores data received from
sensors in the greenhouse that
detect and record temperature,
and control light and humidity
levels.
The data recorded can be
used by extension officers to
recommend crops that would
do well given the conditions in
the greenhouse, enhancing
productivity and boosting food
security.
The students are hoping to
modify the system to detect soil
pH and water tank levels, as
well as any intrusions into a
greenhouse.
Students build computer-controlled
greenhouse to boost food security
Innovation: Kenyatta University
learners say system would also
minimise water, fertiliser wastage
G
reenhouses are becoming
more and more popular
with farmers as weather
patterns get more unpredictable
and access to markets improves,
increasing year-round demand
for various crops.
But despite the uptake, the
potential of greenhouse
technology is yet to be fully
exploited, something three
university student developers
hope to change by automating
it.
REDUCED WASTAGE
The brains behind the idea
Messrs Anthony Mburu, 25,
Charles Nyagaka, 24, and
Japheth Kipkirui, 23, who
belong to a group calling itself
Tech Team are fourth-year
students from Kenyatta
Universitys Electrical and
Electronics Engineering
Department.
They have come up with a
system that includes a comput-
erised box that controls
fertiliser and moisture input,
dispersing water at the exact
AUTOMATION:
The system regulates
temperatures by turning on a
fan installed in the roof as well
as opening shutters to lower
heat levels.
According to Mr Nyagaka,
the system helps save water as it
can detect when moisture levels
are low, and communicates
with the control box which then
turns on a valve in a water tank.
With Kenya being a farming
country, the system will come in
handy to increase food produc-
tion, which will improve food
security. This is why we came
up with such a flexible system
that can be used anywhere to
help farmers grow crops at all
times to avoid hunger, said Mr
Kipkirui.
DATA UPDATES
The system can run on solar
energy in places that are not
connected to the national grid.
Mburu added that the
system gives farmers the
freedom to travel away from
their greenhouses as the control
box interface can send data
updates to their mobile phones
through texts, tweets, calls or
email updates when there is
network connectivity.
The control box, which is
about the size of a lunch box,
can control vast greenhouses
and be customised to a farmers
specifications.
The system, however, is
applicable to one crop at a time.
jwanzala@standardmedia.co.ke
the South Rift region has been cited by experts as the
countrys next likely cofee frontier.
But as more farmers turn to the crop, brokers from
across the country have started trooping to the region
to buy berries. This has put county co-operatives on
high alert, and programmes are being implemented to
prevent farmers being duped into selling their produce
at throwaway prices.
TAKE ADVANTAGE
We have noticed the arrival of some individuals
who are buying cofee from farmers at very low prices
and we have launched sensitisation programmes so
that our farmers do not fall prey to these brokers,
said Bomet County Director of Co-operatives Philip
Cheruiyot.
Mr Cheruiyot said the county is eyeing cofee as
a revenue-enhancing cash crop and would not allow
middlemen to take advantage of farmers.
We are planning to set up a warehouse at a central
point to collect cofee from all the farmers before it is
dispatched to the market, he said during the Bomet
workshop.
He also encouraged farmers to join groups to access
nancial support from the county government, which
has since March grouped farmers into 17 co-operative
societies.
When we set out to identify the hurdles cofee
farmers were facing, we discovered that marketing
was their biggest challenge, but we also realised it was
because everyone was trying to sell his or her produce
individually, which saw companies take time to pay
them, said Cheruiyot.
Companies cannot buy cofee in low quantities,
therefore, it took them time to collect cofee from local
farmers before they could deliver it to factories for
processing and then pay the farmers.
Bomet Deputy Governor Stephen Mutai said the
county government would also buy hand pulpers,
which are used to remove the pulp from cofee berries
to help with the processing process, and issue them to
the 17 cofee societies.
He added that the county was in talks with the
Cofee Research Foundation to secure high-quality
cofee seedlings at subsidised rates.
bizbeat@standardmedia.co.ke
Farmers burned by tea and maize seek comfort in cofee
We came up with this idea during a
brainstorming session to automate the
greenhouse and control the different parameters
in it, AnthonyMburu
>> AGRICULTURE
y B JAMES WANZALA
y B GILBERT KIMUTAI
The mention of cofee in some parts of the country
sends shivers down the spines of farmers due to the
rampant theft of berries. This vice has seen cofee
farmers in central Kenya, where the crop is grown
on a large scale, abandon it for real estate to avoid
chalking up losses.
But farmers in the South Rift have begun to warm
up to it. Farmers reeling from dwindling tea earnings
and a loss of harvest after widespread maize lethal
necrosis disease attacks are slowly turning to cofee.
My maize store is empty, not because we sold our
maize produce but because the maize disease brought
down all our crops, leaving us with nothing. I had to
nd an alternative crop that can cushion me from
hunger and meet my familys nancial needs, said Mr
David Kirui at the Bomet Agricultural Training Centre
during a recent workshop for cofee farmers. About
80 per cent of the maize crop in Bomet County was
destroyed by maize necrosis.
Mr Kirui said he is trying his hand in cofee to
recover from the losses he has sufered the last two
planting seasons.
The Government called on farmers in the areas
afected by the maize disease to embrace alternative
farming activities to counter its spread, and I chose
to return to cofee farming as it does well in my home
area.
With large tracts of land in central Kenya being
surrendered to property development due to the
regions proximity to a densely populated Nairobi,
From left, Anthony
Mburu, 25, Charles
Nyagaka, 24, and
Japheth Kip-
kirui, 23. INSET: A
prototype of their
system. [PHOTOS:
JAMES WANZALA/
STANDARD]
Business Beat
12
Tuesday, July 22, 2014 / The Standard
Web store Dukalako
joins Kenyas growing
e-Commerce space
New entrant: Unlike with many existing platforms,
newly launched store handles all cash transactions,
eliminating need to post contact details online
L
iving abroad can be lonely,
but it can also create an
avenue that exposes you
to different technologies that
can be adapted to suit the
realities in ones home country.
Mr Clement Langat left
Kenya for Australia 14 years ago
in pursuit of further studies,
and his experience abroad
followed this script.
After completing his
secondary education at Alliance
High School, he was admitted
to the Jomo Kenyatta University
of Science and Technology
(JKUAT) to study agricultural
engineering.
I was not comfortable with
the course, however, so I quit in
my second year and since
parallel degrees had not
flourished like they have these
days, my options within the
country became very limited,
he said.
At 22, Langat joined Edith
Cowan University in Perth,
Australia, to study a BSc in com-
munication and IT and then a
masters in professional
accounting.
Like many students in a
foreign land, the young man
from Kericho took up odd jobs
to supplement the cash he was
receiving from his parents.
My first job was as a cleaner
at a shopping mall. Like many
students, I quit this job during
winter when getting up to work
in 3
o
C weather became too
difficult.
From that job, I moved to
working part time in a chicken
factory, and then to the security
industry, where I worked until I
completed my degree, he said.
MEET STRANGERS
After graduating, Langat
took up an accounting job in
Perth for two years before
getting into IT.
I did IT work for four years
and then I left employment to
start an IT business with my
friend, Dennis Langat. We did
this business for a while and
eventually decided to come
home and build Dukalako.
The two first came up with
the Dukalako idea in 2010.
It was during one of our
weekend catchups when we
questioned why a business like
eBay [a consumer-to-consumer
multinational] was not working
in Kenya. We talked about it at
length and decided we would
one day try a similar concept in
Kenya if no one else did it.
This year, they finally put the
plan into action.
The main question we kept
trying to answer was why no
one had set up a platform in
Kenya where a person in
Kisumu could sell an item to
another person in Mombasa
without the two of them ever
having to leave their respective
towns, the 36-year-old said.
Dukalako is a platform that
aims to make it convenient and
safe to buy or sell items online.
Dukalako is safe because
sellers only get paid once
buyers confirm they have
received the item they wanted.
It also eliminates the need to
meet strangers in your home or
at a public place.
It is convenient as a buyer
and seller can conduct all
transactions without having to
step outside their homes or
offices since the pick up and
delivery of items is done by
Wells Fargo or G4S couriers,
Langat said.
It also eliminates the need
to post your private phone
number.
MUSIC STORE
A business can set up shop
within Dukalako, while
individuals can sell any items
they no longer use. While this is
something several other
platforms, such as OLX, offer,
the difference with Dukalako is
that all cash transactions are
handled by the web store.
Listing an item is free so
there really is nothing to lose on
the side of the seller.
Dukalako also has a section
where musicians can market
and sell their songs.
This part was set up with
the legal guidance of our
lawyers, who helped us navigate
the legal minefield of dealing
with music.
Its main selling points are
that artistes get to set their own
prices for songs, track their
sales and receive the proceeds
daily.
The singer is able to sell
their music to Kenyans at home
and abroad. For now, he or she
gets to keep 80 per cent of the
proceeds, Langat said.
The musicians who have
tried it so far have been very
excited about the transparency
of the whole system and we can
only expand from this point.
lkiarie@standardmedia.co.ke
y B LILLIAN KIARIE
:HUSTLERS<<
Dukalako is safe because sellers only get
paid once buyers confirm they have
received the item they wanted,
Clement Langat
TECHSPHERE <<
The dukalako.com home page. INSET: Mr Clement Langat, the co-founder of the site.
IN BRIEF:
Nearly 200 managers at Samsung Electronics
Co Ltds mobile division have voluntarily returned a
quarter of their rst-half bonuses, with the rm
poised to post its worst quarterly prot in two
years.
Samsung Electronics earlier this month
announced operating prot guidance for April-June
that was far below most analysts forecasts. The
worlds biggest smartphone maker is facing slowing
market growth and intensifying competition.
The decision to return some of the bonus was
partly a gesture to demonstrate that managers are
taking responsibility for the earnings decline, and
partly a way to show that management will work
harder.
Such gestures are not uncommon in South
Koreas corporate world, where senior employees
of listed companies have been known to take
similar steps when performance dips. Local media
reports estimated that the value of the returned
bonuses would likely exceed 3 billion won (Sh255.8
million).
Microsoft is to stop developing Android-pow-
ered smartphones beyond those already available.
Nokia X models will now become part of the
Lumia range and run the Windows Phone operating
system, although existing Android handsets will
continue to be supported.
The tech rm acquired Nokias handset division
earlier this year, which unveiled its rst family of
Android phones at the Mobile World Conference in
Barcelona in February. It was described as a
perplexing strategic move at the time, given that
Microsoft had its own mobile operating system,
Windows Phone.
Microsoft Chief Executive Of cer Satya Nadella
kicked of one of the largest layofs in tech history
last week, hoping to reshape the ageing PC
industry titan into a nimbler rival to Apple and
Google, and jolt a culture at the company that is
used to protecting its existing Windows and Of ce
franchises.
Microsoft Corp said it will slash up to 18,000
jobs, or 14 per cent of its workforce, over the next
12 months as it almost halves the size of its newly
acquired Nokia phone business and tries to
become a cloud-computing and mobile-friendly
software company.
The larger-than-expected cuts are the deepest
in the software giants 39-year history and come
ve months into Nadellas tenure.
Beyond the Nokia reductions, Nadella gave few
clues about where the axe would fall or what
areas would receive more funding. However, one
major victim will be the 175-strong Xbox
Entertainment Studios unit, which will start to
wind down eforts to create original content.
Jack Gallant, a researcher at the University of
California, Berkeley, has developed a brain
decoding machine a device that peers into
peoples minds and reconstructs what theyre
seeing. If mind-reading technology like this
becomes more common, should we be concerned?
In Gallants experiment, people were shown
movies while the team measured their brain
patterns. An algorithm then used those signals to
reconstruct a fuzzy, composite image, drawing on
a massive database of YouTube videos. In other
words, they took brain activity and turned it into
pictures, revealing what a person was seeing.
Gallants research focuses on guring out how
the visual system works, creating models of how
the brain processes visual information.
So will the government one day tap into our
innermost thoughts? Apparently not for another
50 years. It will take that long to solve two of the
big challenges in brain-reading technology:
portability and the strength of the signal.
Samsung: Bosses
return bonuses
Change: Microsoft
drops Android
Tech history: Firm
lays of 18,000 staf
Future: Will state
read our thoughts?
Briefs from BBC, Reuters
Why
hadnt
anyone set
up a
platform
in Kenya
where a
person in
Kisumu
could sell
an item to
another
person in
Mombasa
without
the two of
them ever
having to
leave their
respective
towns?
Tuesday, July 22, 2014 / The Standard
13
Business Beat
Honouring those who make a diference
>> TRANSFORM KENYA AWARDS
1. Mr Ndaba Mandela (left), Nelson Mande-
las grandson, greets Standard Group CEO
Sam Shollei at the Windsor Golf Hotel and
Country Club, Nairobi, during Saturdays
Transform Kenya Awards.
2. Green Award winner Lorna Ruto
celebrates her win. Her company, Ecopost
Kenya, collects plastic waste and uses it to
make fencing posts.
3. Media Information Access Award
winner Eunice Mathu of Parents Magazine
gives her acceptance speech. She was
recognised for her consistent work in
publishing over the decades.
4. Education Award winner Ramadhan
Machio was recognised for setting up
numerous schools in Bungoma, including
some on land he donated.
5. Tourism Award winner Paul Kaiyai
Leringato has established conservancies to
protect wildlife and a trust fund to provide
bursaries for his community and nance
education, health and water development
projects.
[PHOTOS: MOSES OMUSULA, MBUGUA KIBERA AND
PIUS CHERUIYOT/STANDARD]
1
3
2
4
5
Business Beat
14
Tuesday, July 22, 2014 / The Standard
NSE COMMENTARY <<
For the third consecutive week,
Safaricom was the weeks top mover,
accounting for 56 per cent of the
volumes traded, StandardInvestment Bank
NSE 20 Share Index 0.2% Dow Jones +123.37 (+0.73%) Nasdaq +68.70 (+1.57%) S&P 500 +20.10 (+1.03%) Oil -0.71% US$ -0.01%
4,910.60 17,100.18 4,432.15 1,978.22 $96.46 1 EUR = $1.3525
Sources: SIB, NSE
Stock Price % week on week % year to date
Safaricom 12.10 -2.5% 11.5%
KCB 54.00 5.8% 14.3%
Equity Bank 46.00 5.7% 49.6%
Athi River Mining 82.00 -1.0% -8.9%
Stock Price % week on week % year to date
Car & General 46.75 15.0% 55.8%
Olympia Capital 5.70 11.9% 23.9%
EA Portland 82.00 9.3% 18.8%
Jubilee Insurance 399.00 6.7% 42.5%
Stock Price % week on week % year to date
Mumias Sugar 2.60 -6.4% -20.0%
Home Afrika 4.15 -5.3% -29.7%
Unga Group 35.00 -5.2% 94.4%
Uchumi 11.90 -4.8% -38.8%
For the
second
straight
week, foreign
investors
were net
sellers,
recording
the highest
net outows
in 17 weeks.
However,
foreign
participation
slipped to
51.3 per
cent from
66 per cent
the previous
week.
Last week, the NSE 20 Share Index gained 0.2 per
cent (-0.3 per cent year to date), while the NSE All Share
Index gained 0.3 per cent (10.9 per cent year to date).
Equity turnover dipped 18.2 per cent to Sh3.2 billion,
and for the second straight week, foreign investors
were net sellers, recording the highest net outows in
17 weeks. However, foreign participation slipped to 51.3
per cent from 66 per cent the previous week.
For the third consecutive week, Safaricom was the
weeks top mover, accounting for 56 per cent of the
volumes traded. KCB gained 5.8 per cent and touched a
52-week high of Sh54.50 during the week.
Britam notched 6.1 per cent (48.5 per cent year to
date) higher. The insurers bond was oversubscribed by
147.7 per cent and raised Sh7.4 billion against a targeted
Sh3 billion. Housing Finance, where the insurer has a
46.2 per cent stake, gained 4.6 per cent (48.4 per cent
year to date).
Up 15 per cent, Car & General was the weeks leading
gainer, with media reports indicating that the supplier
of generators is rebuilding a Cummins 30,000cc engine
for a power generation company in Tanzania.
Down 4.8 per cent, Uchumi joined the losers pack,
touching a 52-week low of Sh11.60. National Bank
retreated 4.2 per cent, with reports stating that the
banks loan issuing ability is under pressure due to the
delayed approval of its rights issue.
Standard Investment Bank
Top Gainers
Top Movers
Top Losers
NSE All Share Index 151.55
Market capitalisation Sh2.123 trillion
Shares traded 26,219,400
Equity turnover Sh575,679,517
Statistics as at July 18, 2014
Tuesday, July 22, 2014 / The Standard
15
Business Beat
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For online subscription visit: www.pdskenya.co.ke
JULY ISSUE
NOW AVAILABLE
A comedy sitcom mocking the
political antics of the newly
elected governor. During the
campaign, he made several
promises he cannot keep.
Tuesdays at 7.30pm
No. 171 TUESDAY, JULY 22- FRIDAY, JULY 25, 2014
INSIDE
JAIRUS BIRECH 24 PANGANGA 4-5 EPL UPDATE 3 KPL 6-10 ATHLETICS 18-19 SCHOOLS 20
WHO HAS
DONE
THE BEST
BUSINESS
SO FAR?
www.gameyetu.co.ke
CONTD ON PAGE 3
SEE STORY PAGE 18-19
STORY PAGE 4
WHY KIPLAGAT IS
NOW THE PRINCE
OF THE TRACK
A
fter dining at the footballs
top table football for a
month, its time to go
back to porridge. The
caipirinhas and caviar of
the World Cup will make
way for a daily diet of
rumours, tittle-tattle and exasperation
over the next few weeks. The transfer
window is open until August 31 lucky
us! but the richest clubs have been
blowing money all summer.
Arsenal bought the impressive Alexis
Snchez for 30m; Jos Mourinho has
bolstered Chelseas little horses to the
tune of 82m; Manchester United have
spent 60m on Luke Shaw and Ander
Herrera;
LONDON
C
h
e
lse
a
, M
a
n
U
, A
rse
n
a
l, L
ive
rp
o
o
l a
n
d
C
ity
h
a
ve
a
lre
a
d
y
sp
e
n
t S
h
3
7
b
w
ith
a
n
o
th
e
r 4
5
d
a
y
s b
e
fo
re
w
in
d
o
w
clo
se
s
KSHS 30 TZSH 560 UGSH 1000
SAGNA
RELAXES IN
MIAMI WITH
HIS WIFE
LUDIVINE
2 GAMEYETU TUESDAY, JULY 22 - FRIDAY, JULY 25, 2014
CHELSEA MANAGER, JOSE
MOURINHO
As is always the norm when Harambee Stars lose, the fall
out is immense. Excuses and blame game ow thick and
fast. It is understandable especially coming shortly after
Kenya rose 13 places to 95th in the Fifa rankings. At the
risk of sounding apologetic, Fifa rankings really dont mean
a thing. The dynamics are so diferent on the eld of play.
Fans and other stakeholders may be justied to feel ag-
grieved by the loss to Lesotho. If the fans are disappointed,
the players must also be very upset with their performance.
It is unthinkable that the current crop of Harambee Stars
players dont want to qualify to the group stages of the
Africa Cup of nations.
Thankfully, as former AC Milan and Italy coach Arrigo Sac-
chi once said, football is a good game because it gives you a
second chance to make up for your earlier mistakes.
Indeed, mistakes have been made on the run up to the 1-0
loss to Lesotho. First, the six-day preparation is a mockery
of the whole campaign. And secondly, Adel Amrouches
suspension was also self-inicted and which could have
far reaching ramications on the team in terms of tactical
application during match day. He will also miss the second
leg after CAF banned him for two matches. The good thing,
however, is there is a second chance early August for Ha-
rambee Stars to make us believe.
HARAMBEE STARS
SHOULD MAKE US BELIEVE
CARTOONPOWER
KOCHAWETU
Over-weight Hatem Ben Arfa set to
be axed by Newcastle United
He is a very, very
good coach, hell be
great for Manchester
United. We are both
great coaches. Its
what we were born to
do.
There is still a long way
to go and Ill bring in
another goalkeeper for
sure.
ARSENAL MANAGER ARSENE
WENGER
TEAMYETU
CAPTAIN: ROBINTOSKIN
STRIKERS: BISMARCKMUTAHI, SAMMYKITULA, JAMESWOKABI,
MUTWIRI MUTUOTA, TONYOWORI
MIDFIELDERS: BSMULAVI, GILBERTWANDERA, RODGERSESHITEMI
DEFENSIVE MIDFIELDERS: BONIFACEOKENDO, DENNISOKEYO
MANAGERPRINT CREATIVE: DANWELOBA
CREATIVE DESIGNER: ALEXKITHUMBU, JOSECKMUTORO
sendFeedbackto: gameyetu@standardmedia.co.ke
Facebook page: game yetu
# Twitter
# game yetu
H
atem Ben Arfa
has seemingly
found a sure-
re way to force
an exit from
Newcastle this
summer by
eating his way out of the
club.
According to reports in
French paper Le Parisien,
Ben Arfa has been banished
to the Magpies reserves by
boss Alan Pardew for re-
turning to pre-season 1.5kg
over-weight.
NEWCASTLE
It is suggested the midelder
will be left out of the squads
tour to Australia with Pardew
ready to let him leave the club,
so disgusted is he with the state
the 27-year-old has got into over
the summer.
Ben Arfa claims any additional
weight is down to increased
muscle mass, but reports claim
he has been ned 1,600 by
Newcastle, indicating Pardew
and co. are less convinced by his
claims.
Elsewhere, fans of Chelsea,
Manchester City and Manches-
ter United have joined forces
T
oskin
to bid a fond farewell to Demba
Ba, as he departs the Premier
League for Besiktas.
The striker leaves Chelsea after
just 18 months at the club but
made many friends in his time
in England or more specical-
ly in the last few weeks of last
season.
The Senegal forward delighted
fans of numerous clubs as he
capitalised on Steven Gerrards
untimely slip to give Chelsea
the lead over Liverpool in what
would turn out to be a 2-0
victory for the Blues, ultimately
crushing the Reds title hopes in
the process.
And his role in the title race
wont be forgotten any time soon
if todays Twitter messages are
anything to go by.
Meanwhile, with the new season
just weeks away, its approach-
ing that time of year again when
the latest football games come
out.
As well as updated kits and
transfers, the stats are also
changed, but it appears Football
Manager have already decided
what theyre going to give Luis
Suarez for next season...
The striker, who has now com-
pleted his 75million switch to
Barca after ying to Spain, will
miss the start of the campaign
through another biting ban.
Agencies
EPLFOCUS
3 GAMEYETU TUESDAY, JULY 22 - FRIDAY, JULY 25, 2014
WHICH CLUB HAS
DONE THE BEST
TRANSFER DEAL
SO FAR?
Vanja Milinkovic (FK Vojvodina)
Out: Alexander Buttner (Dinamo Mos-
cow, 5.6m), Rio Ferdinand (released),
Nemanja Vidic (Inter, free), Federico
Macheda (Cardif City, free), Jack Barmby
(Leicester, free), Ryan Giggs (retired)
Newcastle United
In: Emmanuel Rivire (Monaco), Remy
Cabella (Montpellier, 12m), Siem de
Jong (Ajax, 6m), Ayoze Perez (Tenerife,
1.5m), Jack Colback (Sunderland, free)
Out: James Tavernier (Wigan), Dan Gos-
ling (Bournemouth, free), Shola Ameobi
(released), Conor Newton (Rotherham,
free), Michael Richardson (released)
Queens Park Rangers
In: Rio Ferdinand (Manchester United,
free)
Out: Tom Hitchcock (Mk Dons, free),
Aaron Hughes (Brighton, free) Stephane
Mbia (released), Andrew Johnson
(released), Luke Young (released), Hogan
Ephraim (released), Angelo Balanta (re-
leased), Yossi Benayoun (Maccabi Haifa)
Southampton
In: Dusan Tadic (Twente, 10.3m), Grazia-
no Pelle (Feyenoord, 9m)
Out: Luke Shaw (Manchester United,
30m), Rickie Lambert (Liverpool, 4m),
Adam Lallana (Liverpool, 25m) Guly do
Prado (released), Lee Barnard (South-
end, free), Jonathan Forte (released),
Danny Fox (Nottingham Forest, free),
Andy Robinson (Bolton, free), Tom
Leggett (Aston Villa), Isaac Nehemie
(Aston Villa)
Stoke City
In: Mame Biram Diouf (Hannover, free),
Dionatan Teixeira (Banska Bystrica),
Phil Bardsley (Sunderland, free), Steve
Sidwell (Fulham, free)
Out: Michael Kightly (Burnley), Matthew
Etherington (released), Juan Agudelo
(released)
Sunderland
In: Billy Jones (West Brom, free), Jordi
Gomez (Wigan, free), Costel Pantilimon
(Manchester City, free)
Out: Jack Colback (Newcastle, free), Craig
Gardner (West Brom, free), Phil Bardsley
(Stoke, free), Billy Knott (Bradford, free)
Keiren Westwood (Shef eld Wednes-
day, free), Carlos Cuellar (released),
Andrea Dossena (released), Louis Laing
(released), Oscar Ustari (Newells, free),
David Vaughan (released), John Egan
(Gillingham, free)
Swansea City
In: Marvin Emnes (Middlesbrough,
1.5m), Bafetimbi Gomis (Lyon, free),
Lukasz Fabianski (Arsenal, free), Stephen
Kingsley (Falkirk)
Out: Leroy Lita (released), David Ngog
(released), Daniel Alfei (Northampton,
loan), Jernade Meade (released), Darnel
Situ (released)
Tottenham Hotspur
In: None
Out: Jake Livermore (Hull, 8m), Heu-
relho Gomes (Watford, free), Cameron
Lancaster (released)
West Bromwich Albion
In: Craig Gardner (Sunderland, free),
Joleon Lescott (Manchester City, free),
Chris Baird (Burnley, free), Sebastien
Pocognoli (Hannover 96)
Out: Liam Ridgewell (Portland Timbers,
free), Billy Jones (Sunderland, free), Ste-
ven Reid (Burnley, free), Cameron Gayle
(Shrewsbury, free), Diego Lugano.
Liverpool have reinvested 60m of
the money they earned from selling
Luis Surez; and Manchester City have
coughed up a paltry 12m, just because
they can.
There will be more signings to come
over the next 45 days. Tottenham
Hotspur have been thrifty so far, which
is hardly a surprise after last summers
excesses, but Mauricio Pochettino will
be hoping to strengthen his squad.
Brendan Rodgers has hinted Liverpool
have more money available to spend
and Southampton are in need of
replacements. Who has bought well
so far?
Will Englands reserve left-back and
a midfelder who didnt make it into
the Spain squad help Manchester
United re-establish themselves as a
top four club? Were Liverpool wise
to spend 25m on Adam Lallana con-
sidering that Real Madrid bought Toni
Kroos Germanys man of the match
in their 7-1 destruction of Brazil for
20m? Can Joe Cole recover his career
at Aston Villa? And will Rickie Lam-
bert prove a success at Liverpool?
Arsenal
In: Alexis Sanchez (Barcelona,
30m)
Out: Bacary Sagna
(Manchester City, free),
Lukasz Fabianski
(Swansea, free), Nicklas
Bendtner (released),
Park Chu-young (re-
leased), Chuks Aneke
(released), Daniel
Boateng (released)
Aston Villa
In: Philippe Senderos (Ful-
ham, free), Joe Cole (West
Ham, free), Tom Leggett
(Southampton), Isaac Nehe-
mie (Southampton), Kieran
Richardson (Fulham)
Out: Marc Albrighton (Leicester
City, free), Nathan Delfouneso
(released), Jordan Bowery
(Rotherham), Nicklas Helenius
(Aalborg, loan), Yacouba Sylla
(Kayseri Erciyesspor, loan)
Burnley
In: Lukas Jutkiewicz (Middles-
brough, 2.5m), Michael Kightly
(Stoke City), Marvin Sordell
(Bolton, free), Matt Gilks (Black-
pool, free), Matt Taylor (West
Ham, free), Steven Reid (West
Brom, free)
Out: Chris Baird (West Brom, free),
Junior Stanislas (Bournemouth, free),
David Edgar (Birmingham, free), Keith
Treacy (released), Brian Stock (released),
Nick Liversedge (released)
Chelsea
In: Cesc Fabregas (Barcelona, 30m),
Diego Costa (Atletico Madrid, 32m),
Mario Pasalic (Hadjuk Split), Filipe Lus
(20m)
Out: David Luiz (Paris Saint-Ger-
main, 50m), Ashley Cole
(Roma, free), Samuel Etoo
(released), Frank Lampard
(released), Sam
Hutchinson
(Shef eld
Wednes-
day, free),
Mark Schwarzer
(released), Henrique
Hilario (released), Wallace (Vitesse
Arnhem, loan), Bertrand Traore (Vitesse
Arnhem, loan) Thorgan Hazard (Borus-
sia Monchengladbach, loan)
Crystal Palace
In: Chris Kettings (Blackpool, free)
Out: Jonathan Parr (Ipswich, free),
Dean Moxey (Bolton, free), Aaron
Wilbraham (Bristol City, free),
Kagisho Dikgacoi (Cardif,
free), Danny Gabbidon
(released), Neil Alexander
(released), Ibra Sekajja
(released), Alex Wynter
(Portsmouth, loan),
Kwesi Appiah (Cam-
bridge, loan)
Everton
In: Gareth Barry
(Manchester City, free)
Out: Apostolos Vellios, Mason Springthor-
pe, Magaye Gueye (released)
Hull City
In: Robert Snodgrass (Norwich, 7m),
Jake Livermore (Tottenham, 6m), Tom
Ince (Blackpool, free)
Out: Matty Fryatt (Nottingham Forest,
free), Cameron Stewart (Ipswich, free),
Robert Koren (released), Joe Dudgeon
(released), Abdoulaye Faye (released),
Conor Henderson (Crawley, free), Eldin
Jakupovic (released), Dougie Wilson
(released)
Leicester City
In: Matthew Upson (Brighton, free), Marc
Albrighton (Aston Villa, free), Ben Hamer
(Charlton, free), Jack Barmby (Manches-
ter United, free)
Out: Lloyd Dyer (Watford, free), Neil
Danns (Bolton, free), Sean St Ledger (re-
leased), Zak Whitbread (Derby, free), Paul
Gallagher (Preston, loan), Marko Futacs
(released), Ben Nugent (Yeovil, loan)
Liverpool
In: Adam Lallana (Southampton, 25m),
Lazar Markovic (Benfca, 20m), Emre
Can (Bayer Leverkusen, 9.8m), Rickie
Lambert (Southampton, 4m)
Out: Luis Suarez (Barcelona, 75m), Luis
Alberto (Malaga, loan)
Manchester City
In: Fernando (Porto, 12m), Bacary
Sagna (Arsenal, free), Willy Caballero
(Malaga, 6m)
Out: Costel Pantilimon (Sunderland,
free), Joleon Lescott (West Brom, free)
Gareth Barry (Everton, free), Alex Nimely
(released)
Manchester United
In: Luke Shaw (Southampton, 27m),
Ander Herrera (Athletic Bilbao, 29m),
TOP: New Liverpool signing
Adam Lallana in action for
England. Lallana is among
the players expected to t
in the shoes of departed
Luis Suarez. PHOTOS:
REUTERS
CONTINUEDFROMPAGE1
4 GAMEYETU TUESDAY, JULY 22 - FRIDAY, JULY 25, 2014
ENTERTAINMENT BYAGENCIES [PHOTOS: AGENCIES]
John Terry splashes out 375,000
(Sh55.1million) on TWO cars
Maria Sharapova
and Floyd May-
weather at LA
awards
Van der Vaart suns him-
self with girlfriend Sabia
Boulahrouz
Chelsea captain John Terry has been
pictured in two new gleaming luxury
cars with an estimated combined price
tag of 375,000 (Sh55.1million). He is
still celebrating the new one-year deal
he signed with the club at the end of
last season, as he prepares his garage
ahead of the new campaign. Terry
has been busy so far in pre-season,
scoring in their 5-0 rout of Wycombe
on Wednesday, before coming of the
bench to score twice in their 3-2 victory
over AFC Wimbledon on Saturday.
Despite persistent rumours that he was
going to be moving on, Terry signed
a one-year pay-as-you-play deal with
the club at the back end of last season,
meaning hell be captaining the club
for the 11th season in a row.
-Agencies
Clint Dempsey and his fellow USA
stars clearly made an impression
with their World Cup heroics as they
scooped the award for best moment
at the star-studded ESPYS in Los
Angeles. Cristiano Ronaldo won best
international athlete in the Excellence
in Sports Porformance Yearly awards,
while the event was attended by a host
of other sports stars including Floyd
Mayweather and Maria Sharapova.
NBA forward Kevin Durant won two
ESPY Awards, including male athlete
of the year, and mixed martial arts
star Ronda Rousey earned female
athlete honors, becoming the frst UFC
fghter to claim a trophy in the biggest
category at the show honoring the
years best performances on Wednes-
day. Durant also won best NBA player,
ending LeBron James two-year reign
in both categories. Everybody helped
me out along the way,Durant said. My
beautiful mom watching at home who
couldnt be here. My favorite team-
mate, Russell Westbrook.
Former Spurs midfelder Rafael van der Vaart has put his sad-
ness at missing out on the World Cup through injury behind
him, by hiring a boat with his girlfriend Sabia Boulahrouz in
St Tropez. The two, who have been dating since September
2013 after Rafael split with his ex-wife Sylvie, enjoyed them-
selves in the sun in the south of France. Sabia is the former
wife of Rafaels Holland team-mate Khalid Boulahrouz, who
recently signed a one-year deal with Dutch side Feyenoord
after leaving Brondby. Rafael and Sabia were pictured
basking in the sunshine in St Tropez, before the Hamburg
playmaker demonstrated his fawless technique with some
perfectly executed dives. Van der Vaart was expected to be
named in Louis van Gaals 23-man squad for the World Cup
until he was forced into pulling out of Hollands preliminary
squad due to a calf injury.
SAGNA
RELAXES IN
MIAMI WITH
HIS WIFE
LUDIVINE
Having sealed a move to the
Premier League champions and
played at the World Cup in Brazil,
Bacary Sagna is taking a break
before the new season. While
his Manchester City teammates
took on Hearts in a pre-season
friendly, Sagna was in Miami
soaking up the sun with his wife
Ludivine. The defender looked
relaxed as the pair splashed
around in the sea and lay in the
sun. Sagna, who was a periph-
eral member of the World Cup
squad, agreed to join City on a
150,000-a-week deal after eight
years with Arsenal, but denies
he left for fnancial reasons. Im
going to clear everything up
because I keep reading that I did
it for money and Im greedy,he
said. What I want to say is I have
stayed with Arsenal on the same
contract since 2008 and I never
asked for more money.
GAMEYETU TUESDAY, JULY 22 - FRIDAY, JULY 25, 2014
WITHSHEILAKIMANI [PHOTOS: PIUS CHERUIYOT &FILE] PANGANGA
Emmy Kosgeis
digital swag
Behold, Victor
Wanyamas babe!
Gospel sensation Emmy Kosgei left many of her
Kenyan fans and suitors in awe after she got married to
Nigerian apostle Abselm Madubuko, but love knows
no boundaries and close to an year later, their marriage
is still going strong. Even better is that Emmy got the
chance to showcase her music and minister the gospel
to a wider christian audience across diferent nations.
Of late, she has been doing several tours and concerts
across the world alongside her husband. Seeing as she is
now based in Nigeria where her husband resides, Emmy
seems to have discovered a digital way to keep in touch
with her fans across the world thanks to Skype.
While most artistes use social media platforms to convey
their love to fans, Emmy dials up her fans and converses
with them. That seems like a new celebrity trend and we
can only wait to see if other Kenyan artistes can skype
their fans up too.