Retail investors drive Kenya Airways up on management changes

Shares in Kenya Airways surged more than 9 percent in early trade on Wednesday, buoyed by retail buyers who expect that this week's decision to replace the chairman will lead to further management changes at the loss-making carrier.

By 0723 GMT, shares in the airline, which is partly owned by the government and Air France KLM, had climbed 9.4 percent to 5.25 shillings ($0.05). Since hitting an all-time low of 3.30 shillings on Sept. 20, shares have climbed 60 percent.

"We are having a lot of retail guys coming in," said Daniel Kuyoh of Alpha Africa Asset Managers, adding the decision to appoint Michael Joseph as the new chairman had raised hopes for more changes and improved management of the recovery.