Cable Experts Limited (CEL) has offered to acquire 68.37 per cent of beleaguered East African Cables, stating that it will clear the firm's bank loans, which saw it placed under administration.
CEL has offered to buy the stake owned by Cable Holdings Limited, a subsidiary of Transcentury Limited, the parent company of East African Cables (EA Cables) and which is also under receivership.
The new investor, which says it has experience in the cable business, is willing to invest in reviving EA Cables and repay the Sh1.94 billion Equity Bank Kenya debt, which saw the company put under administration and its shares suspended from trading on the Nairobi Securities Exchange.
“Cable Experts Limited (CEL), a company incorporated in Kenya has on May 19,2026 entered into a share purchase agreement for the acquisition of the entire 68.37 per cent stake in East African Cables PLC (under administration) held by Cable Holdings Limited, a wholly owned subsidiary of Transcentury PLC (in receivership)" said Cable Experts Limited in a public notice.
Copper cables by the East African Cables.
Photo credit: File | Nation Media Group
“The acquisition constitutes a rescue acquisition that enables East African Cables to continue as a going concern, including through the retirement of its existing secured bank indebtedness,” added the company. EA Cables was put under receivership in June last year by Equity Bank Kenya after it defaulted on a loan and did not honour a demand notice issued in June 2023.
Shares of EA Cables were suspended from trading on the Nairobi bourse immediately after its seizure by Equity Bank.
Cable Experts Limited, which is seeking exemption from mandatory acquisition of the remaining 31.63 per cent stake in the company, has stated it will seek resumption of the shares trading on the stock market.
“CEL has sought CMA’s direction under Regulation 28 of the Take-over Regulations confirming the continuation of the suspension and has proposed an agreed pathway for the orderly resumption of trading following completion,” said Cable Experts Limited.
The transaction will have to be approved by the Capital Markets Authority and the Competition Authority of Kenya. At the time of the suspension, East African Cables was trading at Sh1.71 per share, valuing the company at Sh432.8 million. The share price values the 68.37 per cent stake, being 173,071,149 shares, at Sh295.9 million.
Cable Experts made a disclaimer that it did not own any shares in East African Cables nor was it acting in concert with any person who holds shares in the company.
