Kenya Electricity Generating Company (KenGen) has been added to the Morgan Stanley Capital International (MSCI) Frontier Markets Small Cap Index.
This inclusion is anticipated to boost foreign direct investment in the company, which is listed on the Nairobi Securities Exchange (NSE), and highlights its growing significance in the global energy sector.
“This development is expected to enhance shareholder value by attracting more international investment, thereby increasing liquidity and potentially driving up share prices,” Eng. Peter Njenga, KenGen’s Managing Director and CEO stated.
The MSCI Frontier Markets Small Cap Index is a key benchmark for institutional investors seeking exposure to high-growth emerging markets. KenGen’s inclusion in this index underscores its robust financial performance, innovative energy solutions, and dedication to sustainable energy development in Kenya.
The Nairobi Securities Exchange (NSE) welcomed this development, noting that inclusion in the MSCI Frontier Markets Small Cap Index provides investors with an opportunity to invest in promising companies like KenGen, known for strong growth prospects, solid governance, and a proven track record in the energy sector.
NSE Chief Executive Officer Frank Mwiti remarked, “This inclusion will enhance the visibility of Kenyan companies listed on the NSE and make them more attractive to global investors, as the indices serve as benchmarks for those seeking exposure to frontier markets.”
Eng. Peter Njenga expressed enthusiasm about the recognition, highlighting that it will attract more investment to KenGen and position Kenya as a more appealing investment destination.
