Qalaa Holdings, a leading investor in energy and infrastructure in Africa is holding talks with several prospective local and international investors for the sale of its stake in the Rift Valley Railways (RVR), a company jointly-owned by Kenya and Uganda.
Qalaa’s indirect ownership in RVR stands at 73.76% and the company has been classified as a discontinued operation on Qalaa’s financial statements since the first quarter of 2016.
The decision to divest from RVR comes in the wake of management’s conclusion that additional capital is required to complete the company’s transformation programme, which has already yielded positive results on RVR’s operational performance.
Until such time a sale agreement is reached, Qalaa will continue to provide operational and managerial support to RVR, all while pushing ahead with the railway’s three-point turnaround strategy, reads a statement on the company’s website.
