Category: LOCAL

  • Old Mutual Group Commits to Planting 3 Million Trees by 2033 to Promote Environmental Sustainability in East Africa

    Old Mutual Group Commits to Planting 3 Million Trees by 2033 to Promote Environmental Sustainability in East Africa

    ·       By December 2023, the group aims to have planted 20,000 trees at the park.

    ·       The move to rehabilitate the park has so far registered an 80 per cent success rate, visible through the natural regeneration of the site.

    ·       Old Mutual has so far planted approximately 200,000 trees in the Aberdare Range and other regions in Kenya.

    Old Mutual Group and its subsidiary, Faulu Microfinance Bank, have committed to planting 3 million trees within the next decade (by 2033) as part of the company’s broader climate action and sustainability strategy.

    This year, the Group intends to plant a minimum of 20,000 trees in the Aberdare National Park and monitor their progress, which will contribute to rehabilitating 60 hectares of the park through a partnership with the Kenya Wildlife Service that dates back to 2017.

    To date, the Old Mutual has planted over 40,000 seedlings covering about 36ha of the park. The park has a significant role in providing water to the 80% of the Kenyan capital city, including other counties such as Nyeri and Nyandarua and is also a habitat for wildlife.

    Speaking during the tree planting exercise at the park, Old Mutual Group EA CEO Arthur Oginga noted that the move to rehabilitate the park has so far registered an 80 per cent success rate, visible through the natural regeneration of the site.

    “As a responsible business, we are committed to promoting environmental sustainability and conservation efforts in Kenya. Our partnership with Kenya Wildlife Services to rehabilitate Aberdare National Park is a demonstration of our dedication to creating a better world for future generations. Through this tree planting exercise, we hope to restore the park’s ecosystem and preserve its biodiversity, making it a vibrant natural habitat for wildlife and a source of livelihood for surrounding communities.” said Mr. Oginga

    Old Mutuals’ targets are guided by the Group’s Climate Change Action Strategy which considers the social and economic implications of initiatives taken, the urgency articulated through the science of climate change, as well as responsibility toward appropriate risk and opportunity management.

    Arthur also reiterated that “Old Mutual’s response to sustainability is shaped by our core business activities and competencies, the ESG issues impacting our business and stakeholders, and a deep commitment to acting responsibly and treating all stakeholders fairly. Here in East Africa, we aim to achieve our climate action commitments through key areas of action that are in our direct control: reducing the carbon footprint, seeking to invest in a more diverse energy mix, providing products and services and partnering with key stakeholders to hasten the development of investment-grade climate policy and adaptation strategies”.

    Speaking during the tree planting exercise, Dickson Ritan, KWS Director Wildlife and Community Services noted that this partnership is a testament to the power of collaboration in achieving shared goals of a sustainable future for Kenya.

    “As partners in this tree-planting exercise, we at KWS are committed to ensuring that these trees are not only planted but are also monitored and maintained to guarantee their long-term survival. We recognize the critical role that these trees play in preserving the environment and conserving our wildlife, and we will work closely with Old Mutual Group and other stakeholders to ensure that they are well taken care of. Through this initiative, we hope to contribute to the rehabilitation of degraded areas within our national parks, and to create a more sustainable future for generations to come.” he noted.

    Besides having a great impact on the environment, the exercise is set to positively impact Old Mutual’s entire business value chain from customers, shareholders communities and all the countries in which the company has presence.

    Giving her remarks, Old Mutual Foundation Chairperson Susan Omanga said the tree planting exercises is an example of the Foundation’s efforts to make a positive impact on the environment and help mitigate the effects of climate change.

    “In support of the Old Mutual climate action strategy, the Foundation has framed its environmental pillar to support our carbon offsetting and conservation efforts. Particularly, we are proud to be part of the future-focused leading organisations investing in water tower protection. We hope to leverage this exercise to contribute to the restoration of degraded land, the protection of biodiversity, and the reduction of greenhouse gas emissions. We are proud to be leading this effort and look forward to working with our partners and stakeholders to achieve our goals.” said Ms. Omanga.

    As part of its broader climate action strategy, Old Mutual has so far planted approximately 200,000 trees not just in the Aberdare Range, but as well in other regions across Kenya.

  • How to avoid rookie mistakes when looking for investment

    How to avoid rookie mistakes when looking for investment

    By Philani Mzila, Investment Manager, Founders Factory Africa
    In the startup universe, one of the most valuable (if not the most valuable) finite resources you have at your disposal, as a founder,  is equity. This is because startups generally don’t have the capital to scale in market or products developed significantly enough to leverage in order to fund ongoing enterprise growth.

    This makes your startup’s capitalisation table (cap table)  an integral representation of how your venture is funded from an equity perspective (including convertible notes, warrants, and equity ownership grants). The cap table represents how much of a claim each party has on the value created by the business and what they paid for their ownership stake.  Managing the cap table well is therefore  a strategic imperative for any startup founder. As a startup scales, the evolution of its cap table has serious implications on how easily the venture can attract and raise new investment.

    Cap tables and investor risk tolerance
    At the beginning of a startup’s journey, the founding team owns 100% of the company. Depending on the resources they have available, founders tend to self-fund the venture as much as possible (called bootstrapping) up to, and including, the pre-seed stage in order to protect their equity value. At some point, however, the resources they have can only take them so far and they need to raise external capital.

    At the pre-seed stage, a startup hasn’t necessarily found product-market fit and its revenue is often not the best measure of its potential because founders are honing their minimum viable product. At best, the venture has signals of product market fit, i.e. user growth, engagement and active usage and retention. The lack of product market fit, and bankable recurring revenue is typically a deterrent for investment by later-stage investors due to their inherently lower risk tolerance.

    This is where angel investors and early-stage venture capital (VC) firms step in. Angel investors are high-net-worth individuals who are highly risk-tolerant and have the financial means to invest in startups and their potential future returns, at the right price. That “right price” is usually an ownership stake in the business, ranging anywhere between 5 and 15%, with that percentage being a symbol of the risk angel investors accept in return for their capital and operational expertise. Early-stage VC firms, on their end, typically provide additional institutional capital, operational and governance support as well as credibility to ventures.

    Angels and other types of early-stage investors, like Founders Factory Africa, play a vital role in the VC ecosystem. Without the high-risk tolerance these investors bring to the table, most early-stage startups would not break out of the pre-seed stage due to a lack of funding.

    The role of a term sheet at the point of investment
    Given the importance of a startup’s cap table in its future trajectory, it’s worth highlighting the vital role a VC term sheet performs at the point of investment. A VC term sheet is a document that outlines the terms and conditions of a VC investment. It includes details on the amount of money to be invested, the equity being granted to investors, the timing of investor liquidity, and investors’ rights in the venture.

    Some of the key terms founders and investors must be familiar with when reviewing this document include:

    • Valuation – The value of the company which is being used as the basis for the investment.
    • Pre- and post-money valuation – The pre-money valuation is the value of the company prior to the investment, with post-money valuation the value of the company after the investment.
    • Voting rights – A representation of how much say investors have in the future strategic direction of the business.
    • Liquidation preference – This is a clause that determines the order in which investors and founders  are paid back in case of a liquidation or bankruptcy. Be aware: liquidation preference typically relates to any liquidity event, not just a liquidation.
    • Anti-dilution-provisions – These clauses can help protect investors from dilution because of a future financing round of financing. They can have the effect of decreasing a founder’s shareholder value.

    An alignment of interest with the future in mind
    As both an investor and a venture builder that helps startups improve their product and find product market fit, at Founders Factory Africa, we often advise founders to be extremely careful when exchanging equity for capital. When an investor decides to invest in a startup, they are looking for an alignment of interests where the founders can make a meaningful return for starting and scaling the venture, thereby providing a higher chance of a successful exit for the investor.

    Some of the errors we typically see include founders raising their initial funding at too high a valuation. This creates unrealistic expectations for future funding rounds. At times, founders ask for too much capital without deep thought into what metrics and milestones they would like to achieve with the capital, leading them to give up too much equity very early on without considering the need for future funding rounds. These scenarios, in turn, stunt the venture’s ability to raise funding and scale, due to the lack of alignment of financial interests with investors.

    As a startup matures and goes through its different funding rounds, the equity allocated to founders is diluted as larger sums of investment are raised at Series A, B, or C. If the cap table is not thoughtfully constructed, the startup may find it increasingly difficult to raise capital as questions around incentives for later-stage investors increase.

    The startup ecosystem is binary. Either a business grows and succeeds, or it fails. There is no in-between. The value that a startup places on its equity, the partners they choose on its journey and collectively creates is the golden thread that runs through every startup’s success or failure. A thoughtful cap ensures that a startup can become successful. A badly designed cap table can do the exact opposite.

  • Mozilla Africa Mradi Set to Invest Over USD300,000 Into Kenyan Tech Start-Ups

    Mozilla Africa Mradi Set to Invest Over USD300,000 Into Kenyan Tech Start-Ups

    Mozilla Africa Mradi in collaboration with Nairobi City County Government (NCCG) has entered into a partnership to support tech startups in Nairobi County.

    This is part of a new Mozilla grant-making mechanism dubbed Mozilla African Innovation Mradi, which is designed to promote innovation led by and grounded in the unique needs of users on the African continent.

    The partnership is in the background of the Mozilla Africa Mradi Innovation Challenge that will be held in June 2023 in Nairobi.

    Mozilla’s Africa Mradi Innovation challenge will identify and support Kenyan tech entrepreneurs/startups and tech students through an acceleration program that will provide; technical support, access to grants, and ultimately, market access for their products.

    “Exploring and developing new projects, technologies, and products grounded in open innovation that produce a meaningful impact on the African internet ecosystem is at the heart of our work at Mozilla Corporation”, said Alice Munyua, Senior Director of Africa Mradi.

    Mozilla Africa Mradi Innovation Week will be held on June 26th and 27th 2023 in Nairobi. The initiative is part of the Africa Mradi which aims to leverage Mozilla’s role as stewards of the open web to promote models of innovation that are grounded in the unique needs of users in the African continent.

    Kenya is the regional ICT hub of East Africa, with the country being a leader in broadband connectivity, and general ICT infrastructure, and home to more than 300 tech start-ups.

    Through the Innovation Challenge, Mozilla seeks to support this ecosystem to ensure that youth innovators across Kenya have access to the information and knowledge needed to establish and run profitable startups.

    “ Nairobi City County Government will be working with Mozilla Africa Mradi in two key areas; in conducting a situation analysis of all our tech-start-ups and to building the capacity of tech innovators in Nairobi City County so as to ensure they have equal opportunities and platforms to showcase their innovations, are exposed to how venture capital investments work and trained on startup accelerator opportunities available to them in Africa,” said Governor Johnson Sakaja.

  • Manufacturers urged to promote gender equality and women workers’ welfare

    Manufacturers urged to promote gender equality and women workers’ welfare

    KAM CEO Anthony Mwangi during KAM forum
    KAM CEO Anthony Mwangi during KAM forum

    Manufacturers have today been urged to promote gender equality and women workers’ welfare in an increasingly competitive world.

    This was during the first-ever Gender in Manufacturing Forum, hosted by the Kenya Association of Manufacturers (KAM) in partnership with IDH Kenya (the Sustainable Trade Initiative). The event sought to highlight significant opportunities and interventions to help accelerate gender-positive actions in the Textile and Apparel Sector.

    Speaking during the event, Principal Secretary, of the State Department of Labour and Social Protection, Geoffrey Kaituko appreciated the importance of a skilled workforce in the manufacturing sector.

    “Manufacturing is a creator of sustainable jobs since it integrates forward and backward linkages. There is an increasing and significant demand for skilled workers in industries in Kenya and a demand for improved quality of goods and services that meet international investor standards. Quality skills development has been directly linked to youth employment and sustainable economic development. Successful industrialization can increase productivity and unleash more dynamic sectors in Kenya that can create and sustain jobs. As the government, we are currently reviewing labor laws to reflect the new dynamics in play and shall engage employers. I urge manufacturers to keep alive to the call for decent work and to pursue their realization through the rule of law, social dialogue, social protection, and employment promotion.”

    Principal Secretary, State Department of MSME Development, Susan Mang’eni noted, “Majority of citizens in the grassroots are women. Our focus remains on building their capacity, through digitization to empower them economically. In the Textile & Apparel Sector, this calls on us to take advantage of the entire value chain, from farm to fashion”

    IDH Kenya Country Director, Jenny Lofbom noted that we must urgently make decisions to enhance access to economic resources for women.

    “By working with industry partners in agriculture and manufacturing, we have developed a broad spectrum of interventions by being gender-intentional to implement gender-transformative projects. Some of the key issues that need to be addressed include making the workplace safe for all; ensuring equitable pay; adopting gender transformative business models; and enhancing access to finance.”

    KAM Women in Manufacturing (WIM) Program Chair – Mary Ngechu called on local manufacturers to adopt inclusivity and sustainability to give them a competitive edge in the global markets, saying, “Adopting globally acceptable standards, practices and policies is crucial in enhancing sustainability in the industry. Additionally, conducive legislative and institutional support by the government in providing an enabling environment for unfettered growth in the adoption of sustainable practices is key. In doing so, we shall be able to access both local and international markets.”

    KAM CEO Anthony Mwangi highlighted the opportunities for women in the Textile and Apparel Sector.

    “With a market share worth Ksh 50 million locally and approximately Ksh 300 million in East Africa, 65 local textile manufacturers, and 29 in Export Processing Zones (EPZs), the Textile and Apparel Sector presents endless opportunities for women to tap into. Additionally, the government has prioritized the Textile and Apparels Sector as a key driver of job creation, export development, and industrialization. This can be realized by boosting ginneries to process cotton; improving the competitiveness of textile mills; increasing access to raw materials; countering illicit trade and driving the growth of Micro, Small, and Medium Enterprises (MSMEs).”

    He also called on manufacturers to be agile, observing that, “The international textile and apparel value chains are making concerted efforts towards inclusivity and sustainability. For Kenyan businesses, being unable to comply with these standards creates a risk of being left out of global supply chains and represents a high cost in missed market opportunities. It is thus of paramount importance to empower the sector in Kenya to embed critical tenets of sustainability.”

    The event is part of the KAM-IDH Kenya Partnership (Sustainability for Competitiveness Project) to drive the competitiveness of the Textile and Apparel Industry in Kenya. The Project focuses on good governance; job creation; environmental conservation and restoration; inclusivity and sustainability as well as skills development.

  • Dedan Kimathi Foundation Labour Day tree planting together with rotary club of Limuru and Forest service

    War never takes a break; not until the desired outcome is achieved. In the fight against climate change, taking breaks in the midst of the rain is uncomfortable for tree-growing environmentalists.

    As the rest of Kenyans took a break to celebrate Labour Day in recognition of the significant contribution made by workers to the national economic growth, Dedan Kimathi Foundation took advantage of the free day to join the Rotary Club of Limuru to plant 3000 trees in Uplands Forest Station in Limuru; Kiambu.

    Strongly committed to climate change mitigation, DKF Green Army dedicated the day to join in site preparations and planting of the tree seedlings in efforts to take the nation closer to the 30% tree cover as targeted by the year 2032.

    The activity was carried out in partnership with Kenya Forest Service, Rotary Clubs of Westlands, Thika Road, Jabali, and Juja; Rotaract Club of St. Paul’s University, and Imagine Rotary.

  • Mizizi foundation supports the government agenda on affordable housing

    Mizizi foundation supports the government agenda on affordable housing

    The Government is on record outlining it’s commitment in respect to the implementation of the pillar of affordable housing.

    In line of this, the Government has been forthright in availing at least 500,000 units of houses per year.

    Out of this ambitious project, private sector players have joined the project in a bid to ease the pressure on housing in the country.

    MIZIZI Africa Homes Limited is one such player led by the very sharp George Mburu, the Founder and Managing Director.

    He was on Saturday gracing the handover of Heritage Phase 2 along Kenyatta Road.

    “We as Mizizi are alive of the need to bridge the housing gap in the country. This is why we are very committed to building affordable houses for our clients. We would like to urge the Government to also facilitate us with land which we can develop through the initiative and spirit of the Public Private Partnerships. We are eager and ready to utilise the land availed to us by the government.” George noted.

    MIZIZI Africa Homes has also rolled out the buy we build initiative whereby a client is able to pocket his title deed in advance. This is important in many respects the main one being the ability to access credit to develop his or her property,” Mizizi concluded

  • Huawei targets Cloud Storage and Artificial Intelligence systems with new cyber security service

    Huawei targets Cloud Storage and Artificial Intelligence systems with new cyber security service

    Huawei Technologies has launched its latest cyber security service targeting the Kenyan private and public sectors deepening the use of cloud storage solutions and artificial intelligence systems amid escalating cyberattacks.

    Known as Ransomware Protection 2.0 the new service has been designed to address emerging technologies including cloud, the Internet of Things (IoT), and artificial intelligence (AI) that are spreading rapidly.

    All of these developments, said Huawei Kenya CEO Gao Fei, mean that cyber security risks are rising. He pointed out that for the country to benefit from the expansionary economic impact of ICT, maintaining a secure ICT environment is key.

    “The ICT sector is growing rapidly, it is important to ensure that every business’ systems are working well without facing malicious threats, such as ransomware, that disrupt day to day operations and bring real financial costs,” said Gao.

    Nearly 40 percent of public sector organizations use cloud storage services while at least 68 percent of private sector organizations have embraced the cloud. Technology is now everywhere, with all businesses thinking how to collect data and make the most out of it; indeed, data is now a critical input propelling our economy and society. This brings explosive growth in data storage requirements as so many services now collect data as well as depend on data for critical applications. It has become challenging to handle large amounts of data efficiently, ensure OnDemand mobility of data, turn data into gold, and at the same time also protect our data. If data is worth as much as gold, it is also worth protecting.

    Kenya still faces a significant threat from ransomware attacks, which have increased dramatically in recent years. Ransomware attacks, by a type of malicious software that encrypts the victim’s data and demands a ransom for its decryption, are especially on the rise.

    Speaking at the event, Andrew Opiyo, Director ICT at the Ministry of Information, Communication and Digital Economy, noted that with the acceleration of digital transformation and rapid data growth in Kenya, the country faces a significant threat from ransomware attacks, which have increased dramatically in recent years. The need for robust cyber security protection is now more crucial as a result of the recent move to roll out 25,000 wi-fi hotpots and digitize government services amongst others.

    “We need to pay more attention to ransomware and other cyber-attack mechanisms and adopt necessary solutions to prevent additional attacks,” he added pointing out that with digital infrastructure that includes data storage being a critical component of the Kenya National Digital Master Plan 2022-2032, it is important for the country to pursue enhanced vigilance against cyber criminals.

    According to a recent report by Kaspersky, Kenya recorded 32.8 million ransomware attacks in the first half of 2021, making it one of the most targeted countries in Africa. Hence there is a need to have solutions, such as Huawei’s Ransomware protection, which helps to prevent such attacks from happening.

  • Government Implored To facilitate Local Manufacturers

    Government Implored To facilitate Local Manufacturers

    Catherine Kathure, the Managing Director of Homelink Mabati Factory
    Catherine Kathure, the Managing Director of Homelink Mabati Factory

    Local manufacturers in Kenya are making an appeal to the government to facilitate them with incentives in a bid to enable them enhance their production and consequently contribute to bottom up economic growth.

    Catherine Kathure, the Managing Director of Homelink Mabati Factory the Market leader in the production and delivery of several roofing solutions.

    The MD says that the company offers paymentson discount.

    “We have lipa pole pole plan for all our clients because we are Cognizant of the hard economic times and therefore we try to ease their construction hustle.” Kathure says.

    Madam Kathure also notes that the organisation has created employment opportunities through the initiative of Lipa pole pole.

    “We have also created direct employment to many others, therefore we hereby asking for support and incentives that support local manufacturers.”

    Further the MD urges the government to introduce favourable taxation for local manufacturers.

    “Taxation is usually a challenge and our prayer is favorable taxation that speaks to the day to day realities of our businesses. The rising cost of electricity and foreign exchange have also contributed to increased costs of production.”

    The Managing Director expressed optimism with the administration of President Ruto for the elaborate plans he has put in line to boost local manufacturers. The push for affordable housing as a government agenda will also go a long way in enhancing the sustainability of Smes in the construction sector.

    “What gives me the greatest satisfaction is to see over fifty employees under my care earning a decent livelihood and supporting families behind them through the employment we have provided. “she added.

    The writer notes that Homelink Mabati Factory offers free delivery country wide.

  • Join the club to gain better communication skills, Ms. Emilia appeals

    Ms. Emilia Siwingwa, the Director of Toastmasters International’s District 114, comprises more than 1500 members from Burundi, Ethiopia, Kenya, Rwanda, Tanzania, and Uganda. The director has asked Tanzanians to join the club if they are to gain better communication skills with more confidence for the fourth coming event which will happen in Dar-salaam at Johari Rotani Hotel.

    Toastmasters International is a non-profit educational organization that teaches public speaking and leadership skills through a worldwide network of clubs with membership exceeding 358,000 in more than 16,800 clubs in 143 countries.

    Giving her keynote speech at the East Africa Toastmasters event in Karen Country Club Hotel Nairobi, Ms. Emilia noted that it is only through the organization one can be part of millions of men and women who today have become more confident speakers and leaders.

    She congratulated Kenyans and the entire District 114 which is the larger Eastern African club to host her in her capacity as a district director urging them to use the platform to understand how to package ideas and find their niche.

    “So basically Toastmasters International’s values are Integrity, Respect for others, Service and Excellence. The entire Toastmasters program depends on the integrity of each member; that is why it is our first core value and I call for fellow countrymen to the Dar-salaam event and join the members’ club call. “Says Ms. Emilia Director of District 114 Toastmasters.

    The Toastmaster East Africa convener (TEACON) Madam Sarah Adhiambo has called for Kenyans to take the opportunity by visiting Dar-salaam and having a chance for one to enjoy the great scenarios and Topography found in Tanzania.

    “Toastmasters focuses among others; on fostering career advancement, augmenting existing training programs, providing employees with an added benefit, building team camaraderie, encouraging employee retention, strengthening the leadership bench, conducting effective meetings, sharpening their presentation skills, boosting team collaboration, guiding successful teams and effective feedback,” Says Sarah Adhiambo TEACON.

  • Bonfire Adventures scoops top brand tours and travelling award

    Bonfire Adventures scoops top brand tours and travelling award

    Bonfire Adventures has yet again scooped the Most reliable top tours and travel brand award from Starbrands East Africa which hosted the inaugural event in Nairobi.

    The awarding ceremony brought together over 30 different sectors offering a wide range of products and services from tours and travel, real estate, media and others.

    Speaking to Bonfire CEO Simon Kabu ,he lauded starbrand for the brilliant occasion citing that it has not been easy to succeed and emerge the best travel company stating that success is sweaty, bloody and messy.

    Bonfire emerged top after a survey amongst Kenyans of ages of  18 – 55 years in Kenya was conducted by Enterprit Brands which is an independent corporate entity with an aim of paying tribute to brands that offer quality products and services to the East African Consumer.

    He encouraged Kenyans to travel more this year both locally and internationally because Bonfire as a company is committed to restoring confidence in the tour and travel sector by ensuring each person has a package he/she can fit in or afford.

    Over the years Bonfire has been known as a brand that makes it possible for current and future generations to actualize their dream of traveling to their dream destination.