NAIROBI, Kenya, October 15 – Investment firm Sterling Capital has estimated Quickmart’s fair value at Sh6.96 per share, 7.2 percent below the retailer’s offer price of Sh7.50 ahead of its planned listing on the Nairobi Securities Exchange (NSE).
The offer, which runs from October 5 to October 30, involves the sale of two billion existing shares, representing 50 percent of Quickmart, by Sokoni Retail Kenya, which is controlled by investment firm Adenia.
The sale is expected to raise Sh15 billion for Sokoni Retail Kenya, with Quickmart planning to finance its expansion through internally generated cash flows. The shares are scheduled to list on the NSE on November 12, 2026.
Sterling Capital said Quickmart’s revenue exceeded Sh50.4 billion in the 2025 financial year, while its earnings before interest, taxes, depreciation and amortisation (EBITDA) margin widened by 10.1 percent.
However, sales growth at existing stores slowed to 5.7 percent in FY2025 as customer traffic eased, raising concerns about the retailer’s ability to sustain its expansion.
“We expect earnings to grow but at a slower pace than management projects. Our FY26 expected EPS is about 7.6% below guidance, and the gap widens to 16% in FY27 as we take a more conservative view of margins,” the firm said.
Sterling Capital estimates that Quickmart could pay a dividend of Sh0.41 per share in the 2026 financial year, translating to a yield of about 5.5 percent at the offer price of Sh7.50.
The firm also flagged the potential sale of additional shares by Sokoni Retail Kenya as a risk to the share price, noting that further disposals could increase selling pressure after the listing.
