KCB Investment Bank advises caution on the Kenya Pipeline Company (KPC) Initial Public Offering (IPO) due to a relatively low dividend yield, making it less attractive for income-focused investors.

• KPC's projected dividend yield of 3.9 percent is the lowest among comparable energy and utility firms, significantly lower than KenGen's 9.4 percent and Kenya Power and Lighting Company's (KPLC) 6.8 percent.
• The IPO is priced at a price-to-earnings (P/E) multiple of 21.8 times, substantially higher than the local peer average of about 8.3 times.
• The IPO values KPC at approximately Sh163.6 billion and closes on February 19, 2026, with trading expected to begin on March 9, 2026.