Superior Homes (Kenya) Ltd, developers of the world-class Greenpark Estate situated on the main Mombasa highway at Stoney Athi Machakos County have announced the intention to list on the Growth Enterprise Market Segment (GEMS) of the Nairobi Securities Exchange on 3rd August 2016.
The company has appointed Burbidge Capital as the Nominated Advisor for the listing, PKF as reporting accountants and A&K as transaction lawyers.
Superior Homes Kenya Managing Director Mr. Ian Henderson said the company is on a strategy to expand capacity and grow its business to the next level during the announcement.
He explained that funds raised from the market in due course will be used to start new real estate projects in fresh sites following the successful model deployed at the 163-acre Greenpark Estate.
“We have picked a superb team with a proven track record to steer us through this process and we are targeting for Listing by Introduction – subject to regulatory approvals – in the second half of 2016,” Mr. Henderson enthused.
Superior Homes Kenya Ltd was established more than 10 years ago. It pioneered the Gated Community concept in Kenya by developing the open-plan Greenpark Estate at Stoney Athi which comprises more than 700 housing units, schools, green zones, sports and recreational facility as well as a shopping complex. The business model has seen it receive accolades including being named position six in the Top 100 Mid-Sized Companies index for 2015.
In 2015 Superior Homes achieved revenues of Kshs 1 billion, significant profit margins and strong cash generation.Superior Homes Kenya Ltd is constructing a 50-room luxury hotel at Lake Elementaita, while it also engages several partners and county governments on development of real estate projects in other parts of the country.
“We intend to maximize returns for shareholders through our growth strategy that is pivoted by extensive experience in delivering quality projects, sound management practices and the cultivation of good relations with all of our stakeholders,” said Mr. Henderson.
NSE CEO Mr. Geoffrey Odundo commended Superior Homes Kenya’s decision to go public as it showed the company’s commitment to the Kenyan market “We look forward to welcoming Superior Homes Kenya Ltd to the Exchange, once it has satisfied the listing criteria. The company’s intention to list is a clear indicator that Kenyan companies are ready to capitalize on the available resources while not shying away from robust governance and reporting practices.
The intention to list is yet another pointer of the great confidence that our Kenyan Companies continue to have in our Capital Markets, as they seek to raise capital to facilitate their various strategic initiatives.”
Burbidge Capital Ltd CEO Mr. Edward Burbidge says “We foresee a smooth transaction process and are already getting strong interest from the local market. This is a solid company with conservative management corporate governance and accounting practices, and a clear focus on growing its business and expanding its footprint. It offers investors a strong opportunity to reap the benefits of the lucrative real estate sector.”
GEMS is designed to offer a regulatory and trading environment to meet the need of SMEs. The aim is that they can tap the capital market and vast pools of lower cost capital.They can also benefit from the increase of their capital and enjoy liquidity in their shares.