Standard Group Gets CMA Green Light for KSh1.5 Billion Rights Issue
The Standard Group PLC has received formal approval from the Capital Markets Authority (CMA) to launch its proposed KSh1.5 billion rights issue, marking a pivotal moment in its ongoing financial turnaround strategy.
The media company plans to issue 283,661,120 new ordinary shares at a discounted price of KSh5.29 per share, on the basis of 11 new shares for every 3 held. This move was previously approved by shareholders during the company’s Annual General Meeting held on September 2, 2024.
Raising Capital Through Shareholder Support
A rights issue enables a listed company to raise funds directly from its existing shareholders without resorting to costly borrowing. For Standard Group, this offering is a vital step to settle liabilities, inject working capital, and support strategic growth—both organic and through acquisitions.
The discounted share pricing is designed to encourage participation from shareholders while ensuring sufficient capital is raised to meet the company’s immediate financial and operational goals.
Fueling a Digital-First Transformation
Dr. Julius Kipngetich, Chairman of Standard Group’s Board, described the CMA approval as a “major milestone” in the company’s transformation journey. “We’ve made substantial progress in streamlining operations, cutting costs, and executing a long-term strategic plan for financial resilience,” he said.
The raised funds will be crucial in advancing the company’s digital-first strategy, with a vision to return to profitability within 12 months. Dr. Kipngetich expressed confidence in the company’s direction, stating, “This approval is a vote of confidence in our vision and leadership, and positions Standard Group to thrive in Kenya’s evolving media landscape.”
New Leadership, Renewed Vision
As part of its broader turnaround plan, Standard Group has revamped its executive leadership. In August 2024, Marion Gathoga-Mwangi was appointed as Group Chief Executive Officer, while Chaacha Mwita took over as Chief Executive Editor in April 2025. These changes reflect the company’s commitment to innovation, operational efficiency, and content excellence.
With the rights issue now set in motion, Standard Group is poised to strengthen its financial footing, modernize its operations, and reassert itself as a dominant player in East Africa’s media industry.
