Oct. 27 (Bloomberg) -- Kenya Electricity Generating Co., the East African nation’s biggest power producer, gained the most in 2 1/2 months after declaring a dividend for the year through June.
Shares in KenGen, as the company is known, advanced 7 percent to 9.90 shillings as of 11:31 a.m. in the capital, Nairobi, the biggest jump since Aug. 11.
“They maintained the dividend level despite the significant investments they are making,” Eric Musau, a research analyst at Nairobi-based Standard Investment Bank Ltd., said by phone today. “Its earnings exceeded expectations, investors were positive about the performance.”
KenGen said yesterday full-year profit fell 37 percent to 2.08 billion shillings ($21 million) in the 12 months through June after the company’s tax rate increased to 30 percent from 25 percent after a 5-year concession following its initial public offer ended. It will pay a dividend of 0.5 shillings per share, which is similar to the previous year.
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