The East Africa & Mauritius Top 30 Equities Valuation Report

The East Africa & Mauritius Top 30 Equities Valuation Report (quarterly)

APRIL 2021

PREPARED BY [email protected] Address: 1 High Silver, Loughton, Essex IG10 4EL, UK Hartland-Peel Web site: www.hartland-peel.com Africa Equity Research E-mail: [email protected] (Established 1990) Telephone: +44 (0) 20 35 36 35 84 Mobile: +44 (0) 7780 70 5000

EAST AFRICA & MAURITIUS TOP 30 COMPANIES: MARCH 2021 April 27, 2021 Prepared by: Christopher W. Hartland-Peel This report as of March 2020 covers the Top 30 companies in West Africa by market capitalisation. Key highlights: Mkt cap US$bn P/E Price/book ROE Big Cap (10 companies) $22.6bn 25.4 7.90 34.3% Mid Cap (20 companies) $5.6bn 7.8 1.29 13.7% $28.2bn 21.9 6.59 30.2% Excluding Safaricom (29 companies) $14.9bn 23.4 3.49 12.9%  Safaricom’s US$13.3bn market capitalisation accounts for 47% of market capitalisation of the Top 30 companies but its weighting skews the data. We believe the summary for 29 companies is more representative regarding regional corporate valuations and performance.  Company share price movements are set out on page 4 and US$ share price graphs on pages 9-13.  Big cap stocks are far more profitable than small cap stocks with ROE’s of 34% vs 14%.  Of the Top 30 stocks, Kenya has 15, Mauritius 7, Tanzania 6, Uganda one and Rwanda one.  Banks account for 17 stocks, manufacturing 6 stocks, telecoms two, and power and others five. EAST AFRICA & MAURITIUS - TOP 30 COMPANIES 31-Mar-21 (Ranked by market capitalisation)

L/C Issued Market capitalisation P/E Price ROE Dec March Country Share shares US$ % of Trailing --- Dividend -- to book last 12 20 21 listed price million millions total 12 months yield cover value months BIG CAP 1 1 Safaricom KEN 36.25 40,065 13,282 47.1% 20.3 5.1% 0.97 10.06 49.6% 3 2 Tanzania Breweries TAN 10,900 295 1,387 4.9% 22.4 6.2% 0.72 5.83 26.0% 2 3 MCB MAU 219.50 250 1,347 4.8% 8.6 0.0% n.a. 0.88 10.2% 4 4 Equity Bank KEN 37.95 3,703 1,285 4.6% 7.1 0.0% n.a. 1.01 14.3% 5 5 KCB Bank KEN 41.30 3,209 1,212 4.3% 6.8 2.4% 6.11 0.93 13.8%

6 6 East African Breweries KEN 158.00 791 1,143 4.1% 179.9 0.0% n.a. 19.77 11.0% 8 7 Vodacom Tanzania TAN 770.00 2,240 744 2.6% loss 3.2% n.a. 1.37 -0.1% 7 8 Ireland Blyth MAU 44.50 680 742 2.6% loss 1.4% n.a. 2.15 -8.6% 9 9 Tanzania Cigarette TAN 17,000 100 733 2.6% 47.3 3.2% 0.65 9.89 20.9% 10 10 Co-op Bank KEN 13.20 5,867 708 2.5% 6.7 7.6% 1.98 0.85 12.8% $22,583 77.6% 25.4 4.0% 1.02 7.90 34.3%

MID CAP 11 11 Nat Microfinance Bank TAN 2,340.00 500 505 1.8% 5.7 2.8% 6.27 1.04 18.3% 13 12 StanChart Kenya KEN 141.75 344 445 1.6% 9.2 7.4% 1.46 1.10 11.9% 12 13 ABSA Kenya KEN 8.82 5,432 438 1.6% 11.5 0.0% n.a. 1.03 8.9% 16 14 BAT Kenya KEN 475.00 100 434 1.5% 8.7 9.5% 1.22 4.01 46.3% 15 15 I & M Holding KEN 50.00 827 378 1.3% 5.1 4.5% 4.34 0.64 12.6%

17 16 Stanbic Uganda UGA 26.50 51,189 370 1.3% 5.6 7.0% 2.54 1.10 19.6% 14 17 NCBA Bank KEN 25.15 1,498 344 1.2% 8.2 6.0% 2.04 0.52 6.3% 18 18 Stanbic Kenya KEN 81.25 395 294 1.0% 6.2 3.8% 4.27 0.62 10.0% 19 19 Kenya Generating KEN 4.55 6,595 274 1.0% 2.0 6.6% 7.71 0.14 7.2% 22 20 CRDB Bank TAN 230.00 2,612 259 0.9% 3.6 7.4% 3.72 0.59 16.3%

20 21 Phoenix Beverages MAU 597.00 16 241 0.9% 22.0 2.1% 2.12 2.22 10.1% 21 22 SBM MAU 3.50 2,582 221 0.8% 8.9 0.0% n.a. 0.30 3.4% 23 23 Bank of Kigali RWA 233.00 890 210 0.7% 5.4 6.2% 3.00 0.80 14.8% 24 24 Tanzania Portland Cement TAN 2,500.00 180 194 0.7% 6.6 11.6% 1.31 1.94 29.6% 26 25 Jubilee Holdings KEN 270.50 72 179 0.6% 5.5 3.3% 5.48 0.69 12.7%

29 26 Vivo Energy MAU 226.75 29 163 0.6% 38.4 2.9% 0.91 7.62 19.8% 27 27 Britam Holdings KEN 7.02 2,523 162 0.6% loss 3.6% n.a. 0.60 -2.6% 25 28 Diamond Trust Bank KEN 62.75 280 160 0.6% 5.4 0.0% n.a. 0.28 5.2% 28 29 Alteo MAU 20.55 318 160 0.6% loss 2.6% n.a. 0.41 -0.6% 30 30 Ciel MAU 3.94 1,645 159 0.6% loss 0.0% n.a. 0.58 -19.5% $5,592 97.5% 7.8 4.7% 2.59 1.29 13.7%

Total/weighted average $28,175 100.0% 21.9 4.1% 1.33 6.59 30.2%

= P/E <10.0, Dividend yield > 5.0%, Price/Book < 1.50, ROE > 25% Sources: Country stock exchanges, company annual and earnings reports. Exchange rates from the Financial Times, London

1 Address: 1 High Silver, Loughton, Essex IG10 4EL, UK Hartland-Peel Web site: www.hartland-peel.com Africa Equity Research E-mail: [email protected] (Established 1990) Telephone: +44 (0) 20 35 36 35 84 Mobile: +44 (0) 7780 70 5000

EAST AFRICAN & MAURITIUS STOCK MARKETS: 2000-2021

EAST AFRICA & MAURITIUS STOCK MARKETS US$ INDEX 2000 = 100 1,400

1,200

1,000

800

600 <---Tanzania 400 <-- Kenya, Mauritius 200 & Uganda Rwanda opened 2011 <---Rwanda 0 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21

TANZANIA UGANDA KENYA MAURITIUS RWANDA

Sources: Country stock exchanges. Exchange rates Financial Times, London.

EAST AFRICA, MAURITIUS & SEYCHELLES - STOCK MARKETS: MARCH 2021 --- Market cap ---- P/E ---- Dividend ---- Price/ Market ------US$ returns ------Mar-21 US$ bn % Historic yield cover book ROE 2021 Q1 2021 2020 2019 2018 2017 2016

Kenya 21.6 67.6% 24.8 4.5% 1.50 7.57 35.4% 4.1% 4.1% (15.2%) 17.8% (15.9%) 27.4% (7.8%) Mauritius 4.7 14.8% 17.4 1.6% 0.53 1.50 2.4% (5.5%) (5.5%) (30.7%) (7.1%) (1.0%) 29.7% (0.5%) Tanzania 3.9 12.3% 18.1 4.9% 1.52 4.44 18.0% 1.0% 1.0% 0.7% (7.1%) (8.4%) 4.6% (20.1%) Uganda 1.2 3.7% 7.8 4.8% 1.71 0.71 23.1% 2.0% 2.0% (3.7%) (12.8%) (2.3%) (2.0%) (13.0%) Rwanda 0.5 1.4% 14.2 5.8% 2.19 1.41 14.5% (4.5%) (4.5%) (21.8%) (7.6%) (8.2%) 13.0% (24.9%) Seychelles 0.1 0.2% 12.3 4.0% 2.63 2.27 20.0% 0.1% 0.1% (30.1%) (6.6%) 12.9% 1.6% (33.3%) E. Africa & IO Islands 31.9 100.0% 22.1 4.1% 1.38 5.94 2.0% 2.0% (16.0%) 7.5% (11.7%) 23.6% (8.9%)

P/E < 10.0 times, Dividend yield > 5%, Price/book < 1.5 times > 20% US$ return in year

EAST AFRICA & IO ISLAND STOCK MARKETS US$ RETURNS: YTD MARCH 2021 5% 4.1% 4% 3% 2.0% 2.0% 2% 1.0% 1% 0.1% 0% -1% -2% -3% -4% -5% (4.5%) -6% (5.5%) -7%

Sources: Country stock exchanges. Exchange rates Financial Times, London.

2 Address: 1 High Silver, Loughton, Essex IG10 4EL, UK Hartland-Peel Web site: www.hartland-peel.com Africa Equity Research E-mail: [email protected] (Established 1990) Telephone: +44 (0) 20 35 36 35 84 Mobile: +44 (0) 7780 70 5000

EAST AFRICA & MAURITIUS: TOP 30 COMPANIES VALUATIONS: PRICE/BOOK vs ROE ROE’s generally exceed the cost of capital and inflation Higher ROE’s are rewarded with higher valuations

EAST AFRICA & MAURTIUS TOP 30 COMPANIES - FINANCIAL ROE vs PRICE/BOOK East Africa & Mauritius: (ROE'S BASED ON LAST 12 MONTHS EARNINGS) Banks & Finance  Investors reward high ROE’s handsomely with a strong correlation ABSA Kenya Nat Microfinance Bank of ROE and Price/Book value. 1.00 StanChart Kenya Co-op Bank Stanbic Uganda  Our observations regarding outliers: KCB Bank MCB Bank of Kigali Jubilee Holdings  ABSA Kenya looks expensive but investors should bear in mind that I & M Holding Stanbic Kenya Britam Holdings NCBA Bank 2020 earnings have been reduced CRDB Bank by restructuring charges.  CRDB Bank, Diamond Trust and Diamond Trust Bank SBM have lower valuations to SBM peers.  Britam Holdings, insurance and asset managers, had a US$15m H1 2020 loss and has not yet released their full year 2020 0.10 results. -5% 0% 5% 10% 15% 20% 25% PRICE/BOOK RATIO (Vertical axis ) ROE (Horizontal axis)

ROE'sROE's derived derivedfromfrom company company latest latest 12 12 month month financials financials Sources: Price/book ratios and ROE’s derived from market capitalisation data and the last 12 month earnings.

EAST AFRICA & MAURITIUS TOP 30 COMPANIES: NON-FINANCIAL ROE vs PRICE/BOOK East Africa and Mauritius (ROE'S BASED ON LAST 12 MONTHS EARNINGS) Industrial & Commercial

East African Breweries Companies  As with banks, investors reward high Tanzania Cigarette Safaricom 10.00 ROE’s handsomely with a strong Vivo Energy correlation of ROE and Price/Book Tanzania Breweries value. BAT Kenya  Our observations regarding the Phoenix Beverages Ireland Blyth companies: Tanzania Portland Cement Vodacom Tanzania  Tanzania Cigarette looks 1.00 overvalued relative to its ROE. Further, the DSE’s policy on Ciel official prices means that many Alteo DSE companies have unchanged “official” share prices although Outliers ------> actual trades take place well Kenya Generating 0.10 below the official price. -20% -10% 0% 10% 20% 30% 40% 50%  The Outliers: Alteo (sugar) and PRICE/BOOK RATIO (Vertical axis ) ROE (Horizontal axis) Ciel (textiles & hotels) are both ROE'sROE's derived derivedfromfrom company company latest latest 12 12 month month financials financials Mauritian companies. Sources: Price/book ratios and ROE’s derived from market capitalisation data and the last 12 month earnings.

3 Address: 1 High Silver, Loughton, Essex IG10 4EL, UK Hartland-Peel Web site: www.hartland-peel.com Africa Equity Research E-mail: [email protected] (Established 1990) Telephone: +44 (0) 20 35 36 35 84 Mobile: +44 (0) 7780 70 5000

EAST AFRICA & MAURITIUS: TOP 30 COMPANIES US$ SHARE PRICE PERFORMANCE ` L/C Mkt cap US$ share price performance Country Share US$ ------up/(down) ------Rank listed price millions 1 month 3 months 1 year 2 years 5 years BIG CAP 1 Safaricom KEN 36.25 13,282 -6% 6% 32% 21% 101% 2 Tanzania Breweries TAN 10,900.0 1,387 0% 0% 0% -5% -26% 3 MCB MAU 219.50 1,347 -6% -10% 0% -32% -8% 4 Equity Bank KEN 37.95 1,285 1% 4% 7% -16% -11% 5 KCB Bank KEN 41.30 1,212 7% 8% 13% -14% -8%

6 East African Breweries KEN 158.00 1,143 -4% 2% 2% -29% -49% 7 Vodacom Tanzania TAN 770.00 744 0% 0% -10% -4% not listed 8 Ireland Blyth MAU 44.50 742 -7% -9% 7% -27% 55% 9 Tanzania Cigarette TAN 17,000.00 733 0% 0% 0% 0% 33% 10 Co-op Bank KEN 13.20 708 2% 5% -1% -19% -29% $22,583 -3% 3% 16% 4% 45%

MID CAP 11 Nat Microfinance Bank TAN 2,340.00 505 0% 0% 0% 0% 10% 12 StanChart Kenya KEN 141.75 445 6% -2% -23% -39% -36% 13 ABSA Kenya KEN 8.82 438 -9% -9% -16% -31% -32% 14 BAT Kenya KEN 475.00 434 -3% 31% 27% -20% -48% 15 I & M Holding KEN 50.00 378 0% 0% -4% -19% -10%

16 Stanbic Uganda UGA 26.50 370 8% 15% 14% -10% -16% 17 NCBA Bank KEN 25.15 344 3% -6% -15% -37% -36% 18 Stanbic Kenya KEN 81.25 294 -2% -5% -15% -25% -22% 19 Kenya Generating KEN 4.55 274 -3% -4% -12% -26% -44% 20 CRDB Bank TAN 230.00 259 5% 18% 64% 84% -44%

21 Phoenix Beverages MAU 597.00 241 -3% -2% 2% -12% 44% 22 SBM MAU 3.50 221 1% -5% -28% -50% -56% 23 Bank of Kigali RWA 233.00 210 0% -1% -15% -20% -36% 24 Tanzania Portland Cement TAN 2,500.00 194 0% 0% 13% 19% -10% 25 Jubilee Holdings KEN 270.50 179 2% -5% -3% -39% -42%

26 Vivo Energy MAU 226.75 163 -1% 0% 35% 14% 122% 27 Britam Holdings KEN 7.02 162 -3% -3% 4% -28% -38% 28 Diamond Trust Bank KEN 62.75 160 -9% -16% -31% -56% -70% 29 Alteo MAU 20.55 160 -2% -4% 41% -18% -33% 30 Ciel MAU 3.94 159 12% 16% 3% not listed not listed $5,592 0% 0% 0% -3% -4%

Total/weighted average $28,175 -2% 2% 13% 3% 35%

= >25% US$ return

Sources: Country stock exchanges. Exchange rates Financial Times, London. Share price all time high refers to month end share price in US$ terms.

4 Address: 1 High Silver, Loughton, Essex IG10 4EL, UK Hartland-Peel Web site: www.hartland-peel.com Africa Equity Research E-mail: [email protected] (Established 1990) Telephone: +44 (0) 20 35 36 35 84 Mobile: +44 (0) 7780 70 5000

EAST AFRICA & MAURITIUS: TOP 30 COMPANIES EARNINGS RELEASES AND US$ EARNINGS L/C Mkt cap ------Latest Earnings Announcements ------Country Share US$ Earnings US$m % Rank listed price millions ROE Period 2019 2020 change

12 month earnings 4 Equity Bank KEN 37.95 1,285 14.3% Dec-20 221 181 -18% 5 KCB Bank KEN 41.30 1,212 13.8% Dec-20 248 180 -28% 9 Tanzania Cigarette TAN 17,000.00 733 20.9% Dec-20 22 15 -31% 10 Co-op Bank KEN 13.20 708 12.8% Dec-20 143 106 -26% 11 Nat Microfinance Bank TAN 2,340.00 505 18.3% Dec-20 63 89 42% 12 StanChart Kenya KEN 141.75 445 11.9% Dec-20 80 48 -39% 13 ABSA Kenya KEN 8.82 438 8.9% Dec-20 74 38 -48% 14 BAT Kenya KEN 475.00 434 46.3% Dec-20 38 51 32% 15 I & M Holding KEN 50.00 378 12.6% Dec-20 102 74 -27% 17 NCBA Bank KEN 25.15 344 6.3% Dec-20 77 42 -46% 18 Stanbic Kenya KEN 81.25 294 10.0% Dec-20 63 48 -24% 19 Kenya Generating KEN 4.55 274 7.2% Jun-20 78 77 -1% 20 CRDB Bank TAN 230.00 259 16.3% Dec-20 52 71 36% 22 SBM MAU 3.50 221 3.4% Dec-20 1 26 > 1,000% 23 Bank of Kigali RWA 233.00 210 16.3% Dec-20 39 39 -1% 26 Vivo Energy MAU 226.75 163 19.8% Dec-20 11 4 -59% 28 Diamond Trust Bank KEN 62.75 160 5.2% Dec-20 67 30 -56% $8,065 $1,379 $1,119 -19%

6 month earnings 1 Safaricom KEN 36.25 13,282 49.6% Sep-20 339 305 -10% 2 Tanzania Breweries TAN 10,900.00 1,387 26.0% Jun-20 31 19 -40% 3 MCB MAU 219.50 1,347 10.2% Dec-20 145 98 -33% 6 East African Breweries KEN 158.00 1,143 11.0% Jun-20 55 20 -64% 7 Vodacom Tanzania TAN 770.00 744 -0.1% Sep-20 18 (2) n.a. 16 Stanbic Uganda UGA 26.50 370 19.6% Jun-20 36 34 -6% 24 Tanzania Portland Cement TAN 2,500.00 194 29.6% Jun-20 11 15 32% 25 Jubilee Holdings KEN 270.50 179 12.7% Jun-20 15 15 -3% 27 Britam Holdings KEN 7.02 162 -2.6% Jun-20 16 (15) n.a. $18,808 $668 $487 -27%

3 month earnings 8 Ireland Blyth MAU 44.50 742 -8.6% Sep-20 3 (0) n.m. 20 Phoenix Beverages MAU 597.00 241 10.1% Sep-20 2 2 19% 29 Alteo MAU 20.55 160 -0.6% Sep-20 (1) 8 n.m. 30 Ciel MAU 3.94 159 -19.5% Sep-20 2 (2) n.m. $1,302 $5 $8 53%

$28,175

= >25% ROE

Sources: Country stock exchanges. Exchange rates Financial Times, London. Share price all time high refers to month end share price in US$ terms.

5 Address: 1 High Silver, Loughton, Essex IG10 4EL, UK Hartland-Peel Web site: www.hartland-peel.com Africa Equity Research E-mail: [email protected] (Established 1990) Telephone: +44 (0) 20 35 36 35 84 Mobile: +44 (0) 7780 70 5000

Set out below are the Top 30 East African & Mauritian companies as of March 2021 by sector:

EAST AFRICA & MAURITIUS - TOP 30 COMPANIES 31-Mar-21 (Ranked by market capitalisation)

L/C Issued Market capitalisation P/E Price ROE Country Share shares US$ % of Trailing --- Dividend -- to book last 12 listed price million millions total 12 months yield cover value months BANKING & FINANCE MCB MAU 219.50 250 1,347 4.8% 8.6 0.0% n.a. 0.88 10.2% Equity Bank KEN 37.95 3,703 1,285 4.6% 7.1 0.0% n.a. 1.01 14.3% KCB Bank KEN 41.30 3,209 1,212 4.3% 6.8 2.4% 6.11 0.93 13.8% Co-op Bank KEN 13.20 5,867 708 2.5% 6.7 7.6% 1.98 0.85 12.8% Nat Microfinance Bank TAN 2,340.00 500 505 1.8% 5.7 2.8% 6.27 1.04 18.3% StanChart Kenya KEN 141.75 344 445 1.6% 9.2 7.4% 1.46 1.10 11.9% ABSA Kenya KEN 8.82 5,432 438 1.6% 11.5 0.0% n.a. 1.03 8.9% I & M Holding KEN 50.00 827 378 1.3% 5.1 4.5% 4.34 0.64 12.6% Stanbic Uganda UGA 26.50 51,189 370 1.3% 5.6 7.0% 2.54 1.10 19.6% NCBA Bank KEN 25.15 1,498 344 1.2% 8.2 6.0% 2.04 0.52 6.3% Stanbic Kenya KEN 81.25 395 294 1.0% 6.2 3.8% 4.27 0.62 10.0% CRDB Bank TAN 230.00 2,612 259 0.9% 3.6 7.4% 3.72 0.59 16.3% SBM MAU 3.50 2,582 221 0.8% 8.9 0.0% n.a. 0.30 3.4% Bank of Kigali RWA 233.00 890 210 0.7% 5.4 6.2% 3.00 0.80 14.8% Jubilee Holdings KEN 270.50 72 179 0.6% 5.5 3.3% 5.48 0.69 12.7% Britam Holdings KEN 7.02 2,523 162 0.6% loss 3.6% n.a. 0.60 -2.6% Diamond Trust Bank KEN 62.75 280 160 0.6% 5.4 0.0% n.a. 0.28 5.2% 17 Company(ies) $8,519 30.2% 7.1 2.9% 2.32 0.86 12.2%

FOOD, BEVERAGE & TOBACCO Tanzania Breweries TAN 10,900 295 1,387 4.9% 22.4 6.2% 0.72 5.83 26.0% East African Breweries KEN 158.00 791 1,143 4.1% 179.9 0.0% n.a. 19.77 11.0% Tanzania Cigarette TAN 17,000 100 733 2.6% 47.3 3.2% 0.65 9.89 20.9% BAT Kenya KEN 475.00 100 434 1.5% 8.7 9.5% 1.22 4.01 46.3% Phoenix Beverages MAU 597.00 16 241 0.9% 22.0 2.1% 2.12 2.22 10.1% $3,938 14.0% 71.2 4.0% 0.64 10.21 22.0% CEMENT & CONSTRUCTION Tanzania Portland Cement TAN 2,500 180 194 0.7% 6.6 11.6% 1.31 1.94 29.6% $194 0.7% 6.6 11.6% 1.31 1.94 29.6%

6 Industrial & manufacturing companies $4,132 14.7% 68.2 4.3% 0.67 9.82 22.3%

TELECOMS Safaricom KEN 36.25 40,065 13,282 47.1% 20.3 5.1% 0.97 10.06 49.6% Vodacom Tanzania TAN 770 2,240 744 2.6% loss 3.2% n.a. 1.37 -0.1% 2 Company(ies) $14,026 49.8% 19.2 5.0% 0.91 9.60 46.9%

AGRICULTURE Alteo MAU 20.55 318 160 0.6% loss 2.6% n.a. 0.41 -0.6% 1 Company(ies) $160 0.6% loss 2.6% 0.00 0.41 -0.6%

OTHER Ireland Blyth MAU 44.50 680 742 2.6% loss 1.4% n.a. 2.15 -8.6% Kenya Generating KEN 4.55 6,595 274 1.0% 2.0 6.6% 7.71 0.14 7.2% Vivo Energy MAU 226.75 29 163 0.6% 38.4 2.9% 0.91 7.62 19.8% Ciel MAU 3.94 1,645 159 0.6% loss 0.0% n.a. 0.58 -19.5% 4 Company(ies) $1,338 4.7% 5.1 2.5% 1.69 2.22 -3.2%

30 Top companies $28,175 100.0% 21.9 4.1% 1.33 6.59 30.2%

= P/E <10.0, Dividend yield > 5.0%, Price/Book < 1.50, ROE > 25%

Sources: Country stock exchanges, Bloomberg and company annual reports. Aggregate ratios are market cap weighted of Top 30 companies. End month exchange rates from Financial Times, London.

6 Address: 1 High Silver, Loughton, Essex IG10 4EL, UK Hartland-Peel Web site: www.hartland-peel.com Africa Equity Research E-mail: [email protected] (Established 1990) Telephone: +44 (0) 20 35 36 35 84 Mobile: +44 (0) 7780 70 5000

Set out below are the Top 30 East African & Mauritian companies as of March 2021 by country:

EAST AFRICA & MAURITIUS - TOP 30 COMPANIES 31-Mar-21 (Ranked by market capitalisation)

L/C Issued Market capitalisation P/E Price ROE Share shares US$ % of Trailing --- Dividend -- to book last 12 price million millions total 12 months yield cover value months

KENYA Safaricom 36.25 40,065 13,282 47.1% 20.3 5.1% 0.97 10.06 49.6% Equity Bank 37.95 3,703 1,285 4.6% 7.1 0.0% n.a. 1.01 14.3% KCB Bank 41.30 3,209 1,212 4.3% 6.8 2.4% 6.11 0.93 13.8% East African Breweries 158.00 791 1,143 4.1% 179.9 0.0% n.a. 19.77 11.0% Co-op Bank 13.20 5,867 708 2.5% 6.7 7.6% 1.98 0.85 12.8% StanChart Kenya 141.75 344 445 1.6% 9.2 7.4% 1.46 1.10 11.9% ABSA Kenya 8.82 5,432 438 1.6% 11.5 0.0% n.a. 1.03 8.9% BAT Kenya 475.00 100 434 1.5% 8.7 9.5% 1.22 4.01 46.3% I & M Holding 50.00 827 378 1.3% 5.1 4.5% 4.34 0.64 12.6% NCBA Bank 25.15 1,498 344 1.2% 8.2 6.0% 2.04 0.52 6.3% Stanbic Kenya 81.25 395 294 1.0% 6.2 3.8% 4.27 0.62 10.0% Kenya Generating 4.55 6,595 274 1.0% 2.0 6.6% 7.71 0.14 7.2% Jubilee Holdings 270.50 72 179 0.6% 5.5 3.3% 5.48 0.69 12.7% Britam Holdings 7.02 2,523 162 0.6% loss 3.6% n.a. 0.60 -2.6% Diamond Trust Bank 62.75 280 160 0.6% 5.4 0.0% n.a. 0.28 5.2% 15 Company(ies) $20,740 73.6% 25.0 4.4% 1.42 7.85 36.6%

TANZANIA Tanzania Breweries 10,900 295 1,387 4.9% 22.4 6.2% 0.72 5.83 26.0% Vodacom Tanzania 770 2,240 744 2.6% loss 3.2% n.a. 1.37 -0.1% Tanzania Cigarette 17,000 100 733 2.6% 47.3 3.2% 0.65 9.89 20.9% Nat Microfinance Bank 2,340 500 505 1.8% 5.7 2.8% 6.27 1.04 18.3% CRDB Bank 230 2,612 259 0.9% 3.6 7.4% 3.72 0.59 16.3% Tanzania Portland Cement 2,500 180 194 0.7% 6.6 11.6% 1.31 1.94 29.6% 6 Company(ies) $3,821 13.6% 18.5 5.0% 1.53 4.56 18.5%

MAURITIUS MCB 219.50 250 1,347 4.8% 8.6 0.0% n.a. 0.88 10.2% Ireland Blyth 44.50 680 742 2.6% loss 1.4% n.a. 2.15 -8.6% Phoenix Beverages 597.00 16 241 0.9% 22.0 2.1% 2.12 2.22 10.1% SBM 3.50 2,582 221 0.8% 8.9 0.0% n.a. 0.30 3.4% Vivo Energy 226.75 29 163 0.6% 38.4 2.9% 0.91 7.62 19.8% Alteo 20.55 318 160 0.6% loss 2.6% n.a. 0.41 -0.6% Ciel 3.94 1,645 159 0.6% loss 0.0% n.a. 0.58 -19.5% 7 Company(ies) $3,033 10.8% 8.3 0.8% 0.22 1.58 3.5%

UGANDA Stanbic Uganda 26.50 51,189 370 1.3% 5.6 7.0% 2.54 1.10 19.6% 1 Company(ies) $370 1.3% 5.6 7.0% 2.54 1.10 19.6%

RWANDA Bank of Kigali 233.00 890 210 0.7% 5.4 6.2% 3.00 0.80 14.8% 1 Company(ies) $210 0.7% 5.4 6.2% 3.00 0.80 14.8%

30 Top companies $28,175 100.0% 21.9 4.1% 1.33 6.59 30.2%

= P/E <10.0, Dividend yield > 5.0%, Price/Book < 1.50, ROE > 25% v Sources: Country stock exchanges, Bloomberg and company annual reports. Aggregate ratios are market cap weighted of Top 30 companies. End month exchange rates from Financial Times, London.

7 Address: 1 High Silver, Loughton, Essex IG10 4EL, UK Hartland-Peel Web site: www.hartland-peel.com Africa Equity Research E-mail: [email protected] (Established 1990) Telephone: +44 (0) 20 35 36 35 84 Mobile: +44 (0) 7780 70 5000

COMMODITIES

OIL PRICES - BRENT CRUDE US$ PER BARREL $140 All East Africa countries are $120 petroleum importers.

$100 Hence, oil prices falling since $80 2019 has benefitted East Africa & Mauritius and $60 improved their terms of trade. $40 Rising oil prices in 2021 has $20 reversed these improved

$0 terms of trade. 88 90 92 94 96 98 00 02 04 06 08 10 12 14 16 18 20

Source: IMF, Financial Times

KENYAN TEA PRODUCTION MONTHLY PRODUCTION (TONNES) 60,000 Kenyan tea production. A real success story with tea 50,000 Drought 1994, 1997, 2006, production rising four fold in 2016-17 40,000 35 years.

30,000 Tea production has benefited rural communities. 20,000 1993-94 drought 10,000

0 85 87 89 91 93 95 97 99 01 03 05 07 09 11 13 15 17 19 21 Source: East African Tea Brokers, Mombasa

RAW SUGAR #11 US CENTS PER LB $0.35 East Africa and Mauritius are important sugar producers. $0.30 The weak sugar price has $0.25 affected sugar companies,

$0.20 reducing their earnings and, in some cases, causing losses. $0.15 From This has especially been the 1994 case in Mauritius and Kenya. $0.10 Rising sugar prices in 2021 $0.05 will only have a limited benefit as prices have fallen $0.00 90 92 94 96 98 00 02 04 06 08 10 12 14 16 18 20 back.

Source: IMF, Financial Times.

8 Address: 1 High Silver, Loughton, Essex IG10 4EL, UK Hartland-Peel Web site: www.hartland-peel.com Africa Equity Research E-mail: [email protected] (Established 1990) Telephone: +44 (0) 20 35 36 35 84 Mobile: +44 (0) 7780 70 5000

EAST AFRICA & MAURITIUS: TOP 30 COMPANIES: US$ SHARE PRICES

SAFARICOM KENYA TANZANIA BREWERIES SHARE PRICE: US$ SHARE PRICE: US$ $0.35 $10.00 $9.00 $0.30 $8.00 $0.25 $7.00

$0.20 $6.00 $5.00 $0.15 $4.00 $0.10 Listed 2008 $3.00 $2.00 Listed 1998 $0.05 $1.00 $0.00 $0.00 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 Source: NSE. End month exchange rates from Financial Times. Source: DSE. End month exchange rates from Financial Times.

MAURITIUS COMMERCIAL BANK EQUITY BANK SHARE PRICE: US$ SHARE PRICE: US$ $10.00 $0.60 $9.00 $0.50 $8.00

$7.00 $0.40 $6.00 $5.00 $0.30 $4.00 $3.00 $0.20 $2.00 $0.10 Listed 2006 $1.00 $0.00 $0.00 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21

Source: MSE. End month exchange rates from Financial Times. Source: NSE. End month exchange rates from Financial Times.

KCB BANK EAST AFRICAN BREWERIES SHARE PRICE: US$ SHARE PRICE: US$ $4.50 $0.70 $4.00 $0.60 $3.50 $0.50 $3.00 $0.40 $2.50

$0.30 $2.00 $1.50 $0.20 $1.00 $0.10 $0.50 $0.00 $0.00 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21

Source: NSE. End month exchange rates from Financial Times. Source: NSE. End month exchange rates from Financial Times.

9 Address: 1 High Silver, Loughton, Essex IG10 4EL, UK Hartland-Peel Web site: www.hartland-peel.com Africa Equity Research E-mail: [email protected] (Established 1990) Telephone: +44 (0) 20 35 36 35 84 Mobile: +44 (0) 7780 70 5000

EAST AFRICA & MAURITIUS: TOP 30 COMPANIES US$ SHARE PRICES

VODACOM TANZANIA IRELAND BLYTH SHARE PRICE: US$ SHARE PRICE: US$ $0.41 $1.60 $0.40 $1.40 $0.39 $1.20 2010: Capital distribution of 0.387 shares $0.38 Listed 2017 $1.00 in Sun Resorts per share held $0.37 $0.80 $0.36 $0.60 $0.35 Listed 1994 $0.34 $0.40 $0.33 $0.20 $0.32 $0.00 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21

Source: DSE. End month exchange rates from Financial Times. Source: MSE. End month exchange rates from Financial Times.

TANZANIA CIGARETTE CO-OP BANK KENYA SHARE PRICE: US$ SHARE PRICE: US$ $10.00 $0.22 $9.00 $0.20 $8.00 $0.18 $0.16 $7.00 $0.14 $6.00 $0.12 $5.00 $0.10 $4.00 $0.08 $3.00 $0.06 Listed 2008 $2.00 $0.04 Listed 2000 $1.00 $0.02 $0.00 $0.00 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21

Source: DSE. End month exchange rates from Financial Times. Source: NSE. End month exchange rates from Financial Times.

NATIONAL MICROFINANCE BANK STANDARD CHARTERED BANK KENYA SHARE PRICE: US$ SHARE PRICE: US$ $3.00 $3.50

$2.50 $3.00 $2.50 $2.00 $2.00 $1.50 $1.50 $1.00 $1.00 Listed 2008 $0.50 $0.50

$0.00 $0.00 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21

Source: DSE. End month exchange rates from Financial Times. Source: NSE. End month exchange rates from Financial Times.

10 Address: 1 High Silver, Loughton, Essex IG10 4EL, UK Hartland-Peel Web site: www.hartland-peel.com Africa Equity Research E-mail: [email protected] (Established 1990) Telephone: +44 (0) 20 35 36 35 84 Mobile: +44 (0) 7780 70 5000

EAST AFRICA & MAURITIUS: TOP 30 COMPANIES: US$ SHARE PRICES

ABSA BANK KENYA BAT KENYA SHARE PRICE: US$ SHARE PRICE: US$ $0.35 $12.00

$0.30 $10.00 $0.25 $8.00 $0.20 $6.00 $0.15

$0.10 $4.00

$0.05 $2.00

$0.00 $0.00 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 Source: NSE. End month exchange rates from Financial Times. Source: NSE. End month exchange rates from Financial Times.

I & M BANK STANBIC BANK UGANDA SHARE PRICE: US$ SHARE PRICE: US$ $0.90 $0.020 $0.80

$0.70 $0.015 $0.60 $0.50 $0.010 $0.40 $0.30 Listed $0.20 $0.005 2007 $0.10

$0.00 $0.000 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21

Source: NSE. End month exchange rates from Financial Times. Source: USE. End month exchange rates from Financial Times.

NCBA BANK STANBIC BANK KENYA SHARE PRICE: US$ SHARE PRICE: US$ $0.70 $2.50

$0.60 $2.00 $0.50 $1.50 $0.40

$0.30 $1.00

$0.20 $0.50 $0.10

Source: NSE. End month exchange rates from Financial Times. Source: NSE. End month exchange rates from Financial Times.

11 Address: 1 High Silver, Loughton, Essex IG10 4EL, UK Hartland-Peel Web site: www.hartland-peel.com Africa Equity Research E-mail: [email protected] (Established 1990) Telephone: +44 (0) 20 35 36 35 84 Mobile: +44 (0) 7780 70 5000 \ EAST AFRICA & MAURITIUS: TOP 30 COMPANIES: US$ SHARE PRICES

KENYA ELECTRICITY GENERATING CRDB BANK SHARE PRICE: US$ SHARE PRICE: US$ $0.60 $0.30

$0.50 $0.25

$0.40 $0.20

$0.30 $0.15 Listed 2006 Listed 2009 $0.20 $0.10

$0.10 $0.05

Source: NSE. End month exchange rates from Financial Times. Source: DSE. End month exchange rates from Financial Times.

PHOENIX BEVERAGES STATE BANK OF MAURITIUS SHARE PRICE: US$ SHARE PRICE: US$ $20.00 0.4 $18.00 0.35 $16.00 0.3 $14.00 $12.00 0.25

$10.00 0.2 $8.00 0.15 $6.00 Listed 1993 $4.00 0.1 Listed 1995 $2.00 0.05 $0.00 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 0 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 Source: MSE. End month exchange rates from Financial Times. Source: MSE. End month exchange rates from Financial Times.

BANK OF KIGALI TANZANIA PORTLAND CEMENT SHARE PRICE: US$ SHARE PRICE: US$ $0.50 $3.00

$0.45 $2.50 $0.40 $2.00 $0.35 $1.50 $0.30 $1.00 $0.25 Listed $0.20 2011 $0.50 Listed 2006

$0.15 $0.00 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21

Source: RSE. End month exchange rates from Financial Times. Source: DSE. End month exchange rates from Financial Times.

12 Address: 1 High Silver, Loughton, Essex IG10 4EL, UK Hartland-Peel Web site: www.hartland-peel.com Africa Equity Research E-mail: [email protected] (Established 1990) Telephone: +44 (0) 20 35 36 35 84 Mobile: +44 (0) 7780 70 5000

EAST AFRICA & MAURITIUS: TOP 30 COMPANIES: US$ SHARE PRICES

JUBILEE INSURANCE VIVO ENERGY MAURITIUS SHARE PRICE: US$ SHARE PRICE: US$ $6.00 $7.00

$6.00 $5.00 $5.00 $4.00 $4.00 $3.00 $3.00 Listed $2.00 $2.00 1991

$1.00 $1.00 $0.00 $0.00 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 Source: NSE. End month exchange rates from Financial Times. Source: MSE. End month exchange rates from Financial Times.

BRITAM INSURANCE DIAMOND TRUST BANK KENYA SHARE PRICE: US$ SHARE PRICE: US$ $3.00 $0.40

$0.35 $2.50 $0.30 $2.00 $0.25

$0.20 $1.50

$0.15 $1.00 $0.10 Listed 2011 $0.50 $0.05

Source: NSE. End month exchange rates from Financial Times. Source: NSE. End month exchange rates from Financial Times.

ALTEO CIEL SHARE PRICE: US$ SHARE PRICE: US$ $2.50 $0.16 $0.15 Listed 2019 $2.00 Listed 2014 $0.14 $0.13 $1.50 $0.12 $0.11 $1.00 $0.10 $0.09 $0.50 $0.08 $0.07 $0.00 $0.06 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21

Source: MSE. End month exchange rates from Financial Times. Source: MSE. End month exchange rates from Financial Times.

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