AccessKenya records 20pc profit jump

May 27, 2013
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Gross margins have increased to 83 percent in 2012 from 79 percent in 2011 with nine percent increase in revenue and corporate leased lines having grown from 4,700 to 5,400/FILE
Gross margins have increased to 83 percent in 2012 from 79 percent in 2011 with nine percent increase in revenue and corporate leased lines having grown from 4,700 to 5,400/FILE
NAIROBI, Kenya, May 27 – Data services company AccessKenya has declared a 20 percent increase in net profit from Sh101 million in 2011 to Sh131 million for the year ended 2012.

Gross margins have increased to 83 percent in 2012 from 79 percent in 2011 with nine percent increase in revenue and corporate leased lines having grown from 4,700 to 5,400.

Speaking at the group’s Annual General Meeting In Nairobi, AccessKenya Managing Director Jonathan Somen said that the company is looking to benefit significantly from the growth of data and value added services that are expected to rise exponentially due to the anticipated sustained growth of the Kenyan economy.

“Our commitment remains to continue to invest in building our infrastructure and delivering services to Kenyans to build our company and play our part in helping to build Kenya,” he said.

Somen said that wholesale business steadily grew in 2012 and the company anticipates further growth and demand from wholesalers due to the quality of their networks to deliver highly reliable services.

“We are investing heavily in our networks, especially our metro fibre and in our capabilities for both data cloud and value added services,” he explained.

This comes as the company is awaiting word from their advisers about a buy-out offer from Dimensions Data.

Dimension Data earlier this month made a Sh3.052 billion offer for the full acquisition of AccessKenya, making an open market offer to purchase the 218 million shares of the listed company for Sh14 per share, being a premium of 42 percent above the Sh9.85 closing price of Friday May 3.

Dimension also offered AccessKenya shareholders a premium of over the volume weighted average price (VWAP) of AccessKenya’s shares of 55 percent for the 30 day VWAP, 105 percent for the 90 day VWAP, and 155 percent for the 250 day VWAP.

The group shares are currently not trading at Nairobi Securities Exchange awaiting the outcome of this offer.

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