Quickmart IPO: the numbers behind the KES 7.50 offer

Nairobi — 17 Oct 2026

Our earlier piece covered the Quickmart listing while terms were still unconfirmed. The full offer is now public, so this follow-up does the work that matters for a decision: what you are actually buying, what the business earns, what you pay for it, and where the thin spots are.

The offer in brief

This is a sale by the owner, not a capital raise. Sokoni Retail Kenya, the Adenia Partners vehicle that controls Quickmart, is selling 2 billion existing shares, a 50% stake, at a fixed KES 7.50 each. That raises KES 15.0 billion, all of which goes to the seller. Quickmart itself receives nothing and issues no new shares.

• Price: KES 7.50 per share, fixed.
• Market capitalisation at listing: KES 30.0 billion, on 4.0 billion shares.
• Minimum application: 500 shares, or KES 3,750, then in multiples of 100.
• Opened 5 October, closes 30 October. Results on 6 November, listing on the NSE Main Investment Market on 12 November.
• The offer needs 75% subscription, 1.5 billion shares, or it lapses and money is refunded. It is not underwritten.
• The IFC is a cornerstone investor at about KES 1.94 billion, roughly 6.45% after listing, subject to its own board approval.
• Sokoni locks up 60% of what it keeps for 24 months. The other 40%, and the IFC stake, are not locked.

A CDS account is required. Applications run through the official IPO portal, the USSD line, or a licensed placing agent.

What the business earns

Quickmart is Kenya's second-largest supermarket chain by stores and turnover, with 68 branches in June 2026 across 16 counties, up from 50 in 2022. It grew out of the 2020 merger of Quickmart and Tumaini under Adenia. Here is the five-year record, with the first half of 2026 and the company's own full-year forecast where given.

Revenue (KES bn): 25.68 in FY21, 34.78 in FY22, 41.22 in FY23, 46.71 in FY24, 50.43 in FY25, 27.27 in H1 2026, and a forecast of 58.20 for FY26. That is roughly 18% a year compounded, though annual growth has slowed steadily, from 35% in FY22 to 8% in FY25.

Profit after tax (KES bn): 0.18, 0.27, 0.45, 1.13 and 1.51 across FY21 to FY25, then 0.87 in H1 2026 against a 2.10 full-year forecast. Net margin tracked that rise, from 0.7% in FY21 to 3.0% in FY25 and 3.2% in H1 2026. Earnings per share moved from KES 0.05 in FY21 to KES 0.38 in FY25, with FY26 forecast at KES 0.53.

Margins and cash: gross margin held around 21% to 22.5%, while the operating (EBIT) margin improved from 4.3% in FY21 to 7.1% in H1 2026. Operating cash flow reached KES 4.83 billion in FY2025. By June 2026 the company had cleared its non-current bank borrowings, leaving only about KES 6.8 million in current borrowings.

The direction is genuinely good. Revenue roughly doubled over five years, margins widened, and the business throws off real cash. For a cash-and-M-Pesa grocery chain, that is a solid operating story.

What you pay for it

At KES 7.50, the market values Quickmart at KES 30 billion. On reported earnings that is 19.9 times FY2025 profit and 14.3 times the FY2026 forecast. On the company's adjusted earnings the multiples are lower, 17.6 times and 12.9 times, because the forecast adds back about KES 306 million of management and consultancy fees it says ended in July 2026. The forecast dividend yield works out near 6.7%, or 5.5% on the actual FY2025 payout.

The number to sit with is the forecast. FY2026 profit of KES 2.10 billion is 39% above FY2025. Half a year in, KES 0.87 billion is booked, so the second half has to deliver about KES 1.23 billion, a step up in margin from a business whose sales growth has been slowing each year. You are paying today's price for that forecast being met.

Where the risks really sit

• Meeting the forecast. Revenue growth fell from 35% in FY2022 to 8% in FY2025, and same-store growth slowed to 5.7%. The valuation leans on a 39% profit jump this year.
• A thin balance sheet. Shareholders' equity was KES 1.93 billion against KES 19.5 billion of assets, so equity is about a tenth of the business. Total liabilities were 9.1 times equity in June, down from 17.7 times in December 2025.
• Reliance on supplier credit. Trade payables were KES 9.0 billion against KES 0.70 billion of cash. The business runs on supplier terms, and the offer document itself notes that other Kenyan chains collapsed when suppliers pulled back.
• Dividends ahead of profit. Payout ratios ran from 104% to 174% between FY2023 and H1 2026, meaning distributions exceeded earnings. The FY2026 forecast dividend is about 95% of forecast profit.
• Leases, not loans. Net debt of about KES 7.27 billion is almost entirely store lease liabilities with fixed annual rent increases, not bank debt.
• Concentration. The top five counties were 80% of FY2025 sales, Nairobi alone 48%. The store-rollout target to 2030 needs roughly three times the recent opening pace.

Our read

Quickmart is a real, growing retailer with improving margins and strong cash generation, and the offer is CMA and NSE approved with the IFC alongside. That is the case for it. Set against that, this is a 100% secondary sale that hands no new capital to the company, the price already assumes a sharp profit rise, and the balance sheet is thin and dependent on supplier goodwill. It reads as a medium to long-term holding for investors comfortable with consumer-sector risk and a forecast-dependent valuation, not a quick trade. Weigh the dividend appeal against the fact that past payouts ran ahead of profit, and confirm the official terms in the prospectus before applying. The offer closes on 30 October.

Informational only, not investment advice.