This archive report was first published on 24 July 2021.
July 24, 2021 - A recent report has exposed the complex web of ownership behind SportPesa, revealing that Ronald Karauri, the CEO of the betting firm, has a significant stake in Milestone Games Limited, the company behind the controversial takeover of SportPesa in 2020.
According to records at the Registrar of Companies, Karauri acquired a 54.4% stake in Milestone through a series of investment vehicles, making him the majority owner in the new betting firm. This revelation has sparked concerns that Karauri's partners in Pevans East Africa may be left with a shell company.
Karauri's stake in Milestone is held through two investment vehicles, Selenium Limited and NOB Five Limited. He owns a 57.1% stake in Selenium, which has a 96% interest in NOB Five, which in turn holds a 99.5% equity in Milestone.
The report also revealed that Francis Waweru Kiarie, a co-owner of Milestone, has acquired an effective 40.9% stake in the company. Kiarie also owns a 1% stake in Pevans East Africa.
The ownership structure of SportPesa has been at the center of a bitter dispute between local owners Paul Ndung'u and Asenath Wacera, and SportPesa's Bulgarian owners, led by Ronald Karauri. The dispute revolves around allegations that Sh. 29.1 billion was transferred from the company's accounts to overseas accounts without the approval of some owners.
