Nairobi, Jan. 22 -- Kenya Pipeline Company (KPC) has promised investors a dividend payout of 50 percent of net profits as it prepares to list on the Nairobi bourse, signalling an effort to position the State-owned fuel transporter as an income-generating stock.

The dividend commitment is outlined in the company's disclosures to investors ahead of the initial public offering (IPO) that will see the firm listed on the Nairobi Securities Exchange (NSE), raising Sh106.31 billion for the government which is selling a 65 percent stake.

KPC says the 50 percent payout will be declared and paid subject to the availability of distributable reserves and adequate liquidity. The payment will also be in compliance with applicable funding covenants, s...