Baloobhai Patel acquires $1.2 million more shares in Absa Kenya

Key Points

• Baloobhai Patel and his wife acquired an additional 9.17 million shares in Absa Kenya, raising their stake to 1.2%, solidifying their lead among shareholders.
• The transaction reaffirms Patel’s bullish stance on Kenya’s financial sector, even as banks face tighter liquidity and high-interest rate pressures.
• Absa Kenya posted a 27.55% rise in net profit for 2024, declaring higher dividends and reinforcing investor confidence with diversified growth across key segments.

Kenyan tycoon Baloobhai Patel, renowned for his diverse investment portfolio, has strengthened his foothold in Absa Bank Kenya (Absa Kenya) with the acquisition of shares worth over $1.2 million, further cementing his position in the Nairobi Securities Exchange-listed lender.

This latest move signals Patel’s continued confidence in Absa Kenya’s long-term profitability and resilience, even as the banking sector navigates a high-interest rate environment and tightened liquidity conditions across Kenya’s economy.

Strategic bet on Kenya’s banking sector

According to Absa Bank Kenya’s 2024 annual report, Baloobhai Patel and his wife, Amarjeet Patel, increased their combined stake in the lender by acquiring an additional 9.17 million shares valued at Ksh157.7 million ($1.22 million). 

The move lifted their total holding from 55.86 million shares (1.03 percent) to 65.03 million shares, representing a 1.2-percent stake and solidifying their position as the bank’s largest individual shareholders.

The shares were acquired at an average price of Ksh17.19 each, underscoring Patel’s disciplined and opportunistic investment approach amid fluctuating market conditions. Their total stake is now valued at over Ksh1.12 billion ($8.65 million), further reinforcing their long-standing confidence in Kenya’s financial sector.

Absa Kenya delivers resilient growth

Absa Bank Kenya, a subsidiary of South Africa’s Absa Group and formerly Barclays Bank Kenya, has defied a challenging macroeconomic environment to post solid financial results.

Its diversified operations across retail, corporate, treasury, and card services—anchored by strong SME support—underpinned a 27.55 percent jump in net profit to Ksh20.88 billion ($161.45 million) for the year ended December 31, 2024.

The bank declared a final dividend of Ksh1.55 per share, bringing the total to Ksh1.75—up 13 percent from the previous year—resulting in a Ksh113.81 million ($880,000) payout for its top individual shareholder, Baloobhai Patel.

Patel’s bold bet on Kenyan growth

A veteran investor known for his disciplined, long-term approach, Patel holds significant stakes in several Nairobi Exchange-listed blue chips, including Bamburi Cement, Carbacid Investments, Safaricom, Sanlam Kenya, and CIC Insurance Group. He also increased his stake in Co-operative Bank of Kenya from 1.55 percent in September 2024 to 1.7 percent in January 2025, bringing his holdings to 99.7 million shares.

His expanding portfolio underscores a firm belief in the resilience of Kenya’s financial sector and its long-term value. As the market evolves, Patel’s moves remain a bellwether for investor confidence and institutional strength on the NSE.