HighMark

DANGOTE, PRESIDENT WILLIAM RUTO AND THE KENYA PIPELINE TAKEOVER PLAN: By now and through earlier posts on this page, it must be clear that President William Ruto and Dangote are working together in business. Below is the plan for the take over of KPC and how it is unfolding; 1. The President last week instructed the CEOs of public institutions that held KPC shares to sell them to a “Private Investor”. That is how a company associated with Dangote East African Petroleum Refinery ended up buying 24.76% from NSSF, PSSF, PCF and others at a LOSS. Pensioners lost money for President William Ruto to make money. 2. The end plan is to take over the majority shares in KPC. Their target is 51 % on a bad day and 75 % if everyone plays ball. 3. NSSF and other Public Institutions will be forced to sell the remaining stakes to the same “Private Investor”. 4. The next phase of the take over will be through a RIGHTS ISSUE. The assurance Dangote has been given is that President Ruto will instruct Kenya Pipeline to open a share sale of KPC shares through a Rights issue. All this was part of the Conditions Precedent. They are also exploring Private Placement but would raise Market related questions and judicial actions. 5. The Government of Kenya will decline to take the rights due to “unavailability of Funds”. The 35% allocation of the Rights to GoK will be taken over by Dangote where the President also has vested personal interests. NSSF which still has a stake will also decline if they will not have sold. There are plans to convince President Museveni and Uganda not to take up the rights. 6. If President Museveni refuses to play ball, the Dangote/William Ruto consortium will end up with between 51% to 58% of Kenya Pipeline. If he does, their target is approximately 75% of KPC. 7. This will lead to the dilution of Government owned stake in KPC at slightly below 20%. NSSF will also be diluted if they will not have sold the remaining stake. Museveni could play hard and snap one rights to avoid dilution of the Uganda stake. 8. These plans are to start in earnest. The shareholding register of Dangote East Africa Petroleum Refinery must be made public. The Investment Agreement will expose the incompetence of these his regime in negotiating for Kenyans. The problem here is that the same team that should be looking at the welfare of Kenyans as elected leaders of Government are also on the other side of the table as Shareholders. That’s why the government is adamantly refusing to share it with Kenyans. It is just crap at best and no Kenyan would stand the terms. We are African and Africa is our Business..