Shares rise on reports executives to go soon

Pulse Staff 09:44 - 14 October 2016

Kenya Airways chief executive officer Mbuvi Ngunze address investors during the release of their full year earnings results in the capital Nairobi

Kenyan broadcaster Citizen reported that Mbuvi Ngunze and Dennis Awori would exit by the end of the month

Shares in loss-making Kenya Airways climbed as much as 3 percent on Friday, with analysts citing reports that the chief executive and chairman could be soon be replaced, meeting a key demand of pilots who have threatened strike action.

Kenyan broadcaster Citizen reported on its website that Chief Executive Officer Mbuvi Ngunze and Chairman Dennis Awori would exit by the end of the month, without giving a source.

"They are laying out plans to replace the senior management, that includes the CEO, this is based on reports that I am reading," Daniel Kuyoh, analyst at Alpha Africa Asset Managers, told Reuters when asked about the reason for the share rise. Others analysts and traders echoed the comments.