AA Kenya CEO Francis Theuri during an interview on the growth and continuity. Francis Theuri will not let the rich history of Automobile Association of Kenya (AA Kenya) spanning 100 years cloud his plans for the future.
He is focused on the next 100 years. And he has a roadmap. The kind that will see AA Kenya transform from an association to a limited company trading on the Nairobi Securities Exchange (NSE). Mr Theuri is, however, playing his cards close to his chest, not revealing the timelines on when the listing could happen.
“I will not want to comment on the listing, but I want to say those are discussions that have started,” he said in an exclusive interview with Financial Standard. Theuri mentions a notable investment bank as their transaction advisor for the process, adding that they have also engaged the services of a top law firm for legal advice.
AA Kenya promotes and safeguards the interests of motorists through a broad range of services, including roadside assistance, vehicle maintenance and repair and negotiation of affordable insurance premiums. It is the largest automobile association in Kenya with over 100,000 members and over 30 branches countrywide.
The AA Kenya chief said he is well aware of the foundation laid by his predecessors, from the association’s founding as the Royal East Africa Automobile Association in 1919 by Lionel Douglas Galton–Fenzi to when it shipped in a Riley 12/50 car model on loan in 1926, before becoming a driving school with just one vehicle in 1962.
“We realise that in 100 years, we have done very well by supporting this economy in terms of mobility, and we are looking at how much more we need to do in the next 100 years,” said Theuri.
“The next level will be very exciting. We will be taking care of the technology that is taking over the industry.” He said AA Kenya’s selling point is anchored on road safety as it looks to grow its current 35 branch network to every county headquarters in the country.
“What does that mean? It means we have to raise capital. We also want to regionally expand into other African countries,” said Theuri.
One of the targeted countries for expansion is Rwanda. On the planned listing, he said AA Kenya needs to first structure its ownership in order to allot shares.
“We want to move from that mutual organisation to a company limited by shares through demutualisation,” […]