Kenya Airways share price at the Nairobi Securities Exchange (NSE) has staged a strong rally, emerging as the top gainer on a year-to-date basis amid speculative trading after Singaporean and Qatari investors tabled bids to gain control of the airline
State-backed investors from Singapore and Qatar are locked in a high-stakes contest to secure a strategic deal with Kenya Airways (KQ), offering two sharply different visions for the future of the national carrier.
On one side is Temasek Holdings of Singapore, proposing a full equity-based rescue that would see it inject fresh capital and take majority ownership of the airline. On the other is Qatar Airways, which has tabled a non-equity proposal focused on strategic partnership and management support.
The final decision now lies with the Kenyan government, which has yet to approve either offer as Kenya Airways races against time to stabilise its finances.
Competing Visions for Kenya Airways
Under the Temasek proposal, the Singaporean state investor would acquire a controlling stake in Kenya Airways through a capital injection and comprehensive restructuring. The Kenyan government’s ownership would be reduced to an estimated 10 per cent, effectively handing operational control to Temasek while retaining the airline’s national identity.
In contrast, Qatar Airways’ proposal does not involve taking an ownership stake. Instead, it centres on a strategic partnership and management agreement, with Qatar potentially overseeing certain operational aspects of the airline. Sources indicate that the deal could extend beyond Kenya Airways to include management involvement at Jomo Kenyatta International Airport (JKIA), alongside a share in future revenues.
Existing Qatar–KQ Partnership
Kenya Airways and Qatar Airways already maintain a growing commercial relationship. In October 2025, the two carriers launched an extensive codeshare partnership, improving connectivity between Africa, the Middle East and Asia. However, this agreement is separate from the proposed investment or management arrangement currently under review.
Government Deliberations Ongoing
Both proposals are under active consideration by the government and Kenya Airways’ new interim chief executive officer, George Kamal. While President William Ruto has previously cited Singapore as a development model, raising speculation that Temasek may have an edge, the president has also held engagements in Doha, signalling that no option has been ruled out.
Urgent Need for Capital
Kenya Airways is seeking at least $500 million (about KSh 80 billion) by early 2026 to reduce debt, strengthen its balance sheet and fund fleet expansion. The choice between Singapore’s equity takeover model and Qatar’s strategic management approach is expected to play a decisive role in the airline’s long-term survival and competitiveness.
Speculative trading Fuels Rally
Following the announcements by the two strategic investors, Kenya Airways’ share price at the Nairobi Securities Exchange (NSE) has staged a strong rally, emerging as the top gainer on a year-to-date basis as of the week ended January 23, 2026.
The counter closed the week at KES 4.6, translating to a weekly gain of 41% and a year-to-date gain of 30.3%. The volume of shares traded totaled 1 million across 449 deals, generating a turnover of KES 4.61 million. KQ’s market capitalization stood at KES 26.1 billion.
Before 2024, Kenya Airways’ net earnings had been in the red for more than a decade. The airline rebounded to profitability in 2024, recording net earnings of KES 5.4 billion before swinging back to a KES 12.2 billion loss in the first six months ended June 30, 2025.
