Introduction In the ever-evolving landscape of the financial services sector, innovation, especially the meteoric rise of Artificial Intelligence, has become the driving force behind adaptability. For decades, the global financial industry languished in old-school ways, leaving inefficiency in its wake. But the dawn of computing and AI in the early 80s triggered a seismic shift …
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In recent years, several startups ditched the disciplined approach to growth and went for the growth-at-all-costs model. Examples such as Sendy and Twiga, among others, are a testament to this. With this “Go Big or Go Home” approach, characterized by Reid Hoffman’s book “Blitz Scaling,” those who have not yet achieved sustainability now have to …
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International Accounting Standard 40 (IAS 40) stands as a critical compass for enterprises engaging in investment property management in the intricate universe of financial reporting standards. Issued by the International Financial Reporting Standards (IFRS) Foundation, IAS 40 charts a course for companies engaged in real estate and other investment activities, providing a structured framework for …
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You’ve spent weeks building the perfect valuation model. You’ve included growth forecasts, estimated costs, calculated discount rates, and determined a valuation range you’re confident in. But now comes the hard part – determining the right price for the business. How do you bridge the gap between your valuation and a price that will resonate with …
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Terminal value plays a crucial role in forecasting the value of a business by considering its projected cash flows at the end of the forecast period. It is an essential component of the Discounted Cash Flow (DCF) valuation method, as it helps determine the present value of anticipated future cash flows. When calculating the terminal …
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Introduction Company valuation is the process of assessing the total economic value or current worth of a business and its assets. Valuation is commonly conducted using three approaches: namely, Discounted Cashflow Method (DCF), Market Approach, and Net Asset Value. The different valuation methodologies Discounted Cashflow Method (DCF) – It is the process of estimating the …
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Share buyback, also known as a share repurchase, is a corporate action where a company buys back its own shares from the market. The CMA guidelines on share buyback by listed companies provide three methods of undertaking share buybacks: Through open market repurchase – Where a company can buy back its shares on the open …
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According to a press release from the Energy & Petroleum Regulatory Authority (EPRA), Kenya Power (KP) made a Retail Tariff Application (RTA) to the regulator that will see the cost of electricity increase. If approved, the RTA would be applicable for the tariff period 2022/23 to 2025/26. The application has made new proposals that will increase the …
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Understanding the Proposed Deal between Equity Bank and Spire Bank Equatorial Commercial Bank (ECB) was founded in 1983 as a Finance Company. Mwalimu Sacco acquired a 75% stake in the bank in 2015 and rebranded it to Spire Bank in 2016. In 2020, the Sacco bought the remaining 25% stake to fully own the bank. …
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We sought to establish the real numbers behind Kenyan electioneering in this blog. It may seem a simple task at the onset, but it gets complex as we dig deeper. What makes it complex is not gathering information on IEBC budget and spending but compiling/estimating data on the spending by candidates in their campaigns. The …
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