In the dynamic world of Kenyan finance, where fortunes are often made and lost with strategic timing, the recent financial moves of former Kenya Revenue Authority (KRA) board chairman Anthony Mwaura and his family have captured significant attention. While Mwaura has transitioned from a high-profile public service role, his family's substantial investment in HF Group, a Nairobi Securities Exchange (NSE)-listed mortgage firm, paints a compelling picture of astute financial planning and a deep belief in the potential of indigenous institutions. This multi-billion-shilling stake marks a significant moment, raising questions about wealth creation, investment strategy, and the interplay between public service and private enterprise.
The first-quarter 2025 results released by HF Group unveiled a striking shift in its shareholder profile, prominently featuring the Mwaura family among its top investors. Cumulatively, Anthony Mwaura and his immediate family now hold an astounding KSh 1.6 billion worth of stakes in the mortgage firm, cementing their position as major players in the institution's future.
Breaking down this significant investment reveals a concerted family effort:
Anthony Mwaura himself, through his investment vehicle Toddy Civil Engineering, owns a substantial 81.6 million shares, constituting a 4.33% stake in HF Group. These shares are currently estimated to be valued at KSh 548.3 million. His wife, Rose Njeri, has acquired a 4.21% stake in the mortgage firm, with her holdings currently valued at KSh 533.5 million. Their daughter, Susan Wanjiru, through Janton Investments, holds a 4.18% stake, valued at KSh 528 million.
Combined, the Mwaura family's total stake in HF Group amounts to an impressive 12.72%. This places them squarely in the second position among the firm's top shareholders, surpassed only by Britam Holdings, which holds a 48.17% stake. Such a substantial cumulative investment underscores a unified family strategy and a strong conviction in HF Group's long-term prospects.
According to insights from Business Daily, the Mwaura family strategically acquired these shares during HF Group's 2024 rights issue, a critical period during which the company successfully raised KSh 6.4 billion. A rights issue allows existing shareholders to purchase additional shares, often at a discount, providing capital to the company while typically diluting the ownership percentage of those who do not participate. The Mwaura family's heavy participation indicates both their access to significant capital and their confidence in the company's future growth following the capital injection.
Anthony Mwaura, who currently chairs the Kenya Rural Roads Authority (KeRRA), clarified the motivation behind this monumental investment, describing it as a key component of his family's retirement plan. This perspective sheds light on a long-term vision, moving beyond current public service roles to secure a substantial financial future through strategic investments in what he terms an "indigenous bank with good potential." His assessment of HF Group's potential is supported by its recent market performance, having gained a remarkable 64.3% in value at the Nairobi bourse, outperforming many other lenders. This strong market appreciation likely validated the Mwaura family's investment decision.
Anthony Mwaura's career has seen him transition between significant public sector leadership roles. He chaired the KRA board from November 2022 until his departure in December 2024, when he was appointed to head KeRRA. As the chairman of an independent commission, his salary and wages are determined by the Salaries and Remuneration Commission (SRC).
During his tenure at KRA, Mwaura's gross salary saw a modest increase from KSh 792,519 to KSh 819,844 per month. His current gross salary as the chairman of KeRRA remains consistent at KSh 819,844. This comprehensive package includes a basic salary of KSh 491,906, a house allowance of KSh 150,000, a salary market adjustment of KSh 177,938, and an official commuter allowance.
Beyond the fixed salary, chairpersons of independent commissions also benefit from a range of other perks designed to support their high-level roles. These include a mortgage loan facility of up to KSh 35 million, a car loan of up to KSh 8 million, comprehensive medical insurance coverage of up to KSh 10.6 million, and the provision of an official transport car with an engine capacity not exceeding 3000cc. These emoluments provide a robust financial foundation, enabling individuals in such positions to engage in significant personal investments.
The Mwaura family's strategic investment in HF Group comes at a time when the Nairobi Securities Exchange (NSE) is experiencing a period of significant positive momentum. This broader market surge is exemplified by the performance of Safaricom PLC, a bellwether for the Kenyan stock market. Recently, Safaricom reported a notable increase in its share price to KSh 23.15, contributing to overall gains across NSE stocks within a single trading day. This positive movement translated into substantial gains for shareholders, with over KSh 50 billion accrued during the same period under review. Safaricom's market capitalization alone grew to an impressive KSh 905 billion by the close of the trading period. This buoyant market environment likely creates an attractive climate for investors, potentially encouraging more significant strategic plays like that seen from the Mwaura family.
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