Ndindi Nyoro, once the top individual shareholder in Kenya Power, has significantly trimmed his stake in the struggling utility, sending ripples through the ownership ranks and raising questions about his long-term investment strategy.

Between June and December 2023, Nyoro offloaded 11.78 million shares, a hefty 36 per cent reduction from his previous holding.

This divestment translates to a Sh16.5 million haircut at the current share price, leaving him with 20.72 million units worth Sh29 million.

This move dethrones Nyoro from the top individual shareholder spot, handing the crown to a joint duo - Naran Khimji Hirani and Virji Khimji Hirani.

Together, they control 23.85 million shares, representing 1.22 per cent of the company.

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Nyoro's exit comes after meticulously building his Kenya Power portfolio over the previous year.

In June 2023, he boasted a record 32.5 million shares, making him the single-largest individual investor.

This bullish stance stemmed from his belief in the long-term potential of the company, a sentiment he echoed when claiming to have started his investment journey as a university student.

Analysts speculate that Nyoro's recent divestment could be a strategic shift in light of Kenya Power's current woes.

The utility, grappling with a weakening shilling and a prolonged bear run in the Nairobi Securities Exchange, saw its net earnings plummet by over 25 per cent in the year ending June 2023.

Despite these challenges, some see Kenya Power's stock as undervalued, citing its low price-to-book ratio of 0.78.

This makes it a potentially lucrative bet for long-term investors willing to weather the market turbulence.

However, Nyoro's decision suggests he may have re-evaluated his risk tolerance and opted for a more diversified portfolio.

With Nyoro's exit, the Kenya Power ownership landscape takes on a new shape.

Whether this heralds a shift in investor sentiment or merely a tactical manoeuvre by Nyoro remains to be seen. One thing is certain: the power play within the struggling utility is far from over.