Sameer Africa Plc is targeting the close of a Sh919 million land sale deal by the end of June 2026 as it seeks to settle debt.
The Nairobi Securities Exchange-listed firm said it expects to complete the sale of a 3.75-acre parcel of land valued at Sh919.69 million ($7.12 million) in the second quarter (April–June) of this year.
“Assets held for sale relate to 3.75 acres of undeveloped leasehold land. The sale was initiated in 2024 and is likely to conclude in the 2nd quarter of 2026. The transaction value of the asset held for sale is $7,128,891 or equivalent Sh919,698,228 at the year-end US dollar closing rate of 129.01,” the company said in its 2025 annual report.
The company has previously missed three self-imposed deadlines for the sale. Sameer Africa first disclosed the proposed disposal in 2022, setting a 2023 target to conclude the deal.
It planned to use proceeds from the sale to fund an infill project, retire debt and reduce exposure to foreign exchange losses.
The Sameer Infill Project is a Sh260 million industrial warehousing development located at the company’s head office along Mombasa Road in Nairobi.
The project forms part of the firm’s strategic shift from tyre manufacturing towards higher-yield commercial real estate investment.
The company failed to meet its initial deadline, citing administrative and procedural delays at the government land registry linked to migration to the Ardhisasa platform.
“As I reported to you last year, the company entered into an agreement to sell a portion of undeveloped leasehold land in the fourth quarter of 2022, which we expected to complete in 2023. However, due to administrative and procedural delays at the Government land registry occasioned by the migration to the Ardhisasa platform, we expect the process to conclude in 2024,” chairman Erastus Mwongera said in the annual report.
The firm also missed its revised 2024 deadline, saying completion documents had been secured and a down payment received, with the deal expected to close in the second half of 2025.
“I am pleased to report that the company has obtained the requisite completion documents for the transaction, and a significant down payment was made by the purchaser in 2024. The transaction is now pending customary completion activities and is projected to conclude within the second half of 2025,” said Mr Mwongera.
Sameer again failed to meet the 2025 target and has now set a fresh timeline of April to June 2026 to complete the transaction.
Sameer owns large tracts of land acquired decades ago that have appreciated over time, although the firm has been reluctant to dispose of them.
If concluded, this would be the company’s first major land sale in recent years.
Profit streak
Sameer Africa posted a profit for the sixth consecutive year in 2025 after exiting tyre manufacturing, a business that had been hit by cheap imports from China.
Net profit grew 5.5 percent to Sh274.28 million in the year ended December 2025, supported by higher revenue and lower operating expenses.
Results published on Wednesday show profit rose from Sh259.89 million a year earlier, while revenue increased to Sh432.74 million from Sh389.47 million.
