This archive report was first published on 3 July 2020.
On July 3, 2020, the Capital Markets Authority (CMA) approved the suspension of trading of Kenya Airways shares at the Nairobi Securities Exchange, which will last for 90 days.
The suspension is aimed at paving the way for corporate restructure and government buy out, following the publication of the National Management Aviation Bill 2020 in June.
Kenya Airways share price has gone up 31 per cent in value, a week after a proposed law seeking to collapse it into an Aviation holding company was tabled in Parliament.
According to the proposed law, KQ, Kenya Aviation Authority, and Aviation Investment Corporation will be subsidiaries in Kenya Aviation Corporation, the proposed holding firm.
The main agenda of the holding company is to improve the competitiveness of the Kenyan aviation sector.
Kenya Airways has applied for the suspension of trading in its shares and closure of its register until the resolution of its future is determined.
However, the national carrier plans to resume domestic and international passenger flights as soon as the travel ban imposed since March 22 is lifted.
Passengers and staff are expected to adhere to the set protocols to ensure their health safety.
