CMA Debunks Fake Reports of Crystal Ventures Acquiring Standard Group
Reports circulating on social media in recent days claimed that Rwanda-based investment firm Crystal Ventures Ltd had acquired a majority stake in Standard Group Plc, sparking widespread speculation.
The claims were fueled by a purported press release, dated September 2, 2024, allegedly issued by Kenya’s Capital Markets Authority (CMA). The document suggested that CMA had reviewed and approved the acquisition, asserting compliance with Kenya’s Capital Markets Act and other regulations.
“Crystal Ventures Ltd, headquartered in Kigali, Rwanda, has successfully acquired a major stake in Standard Group Plc, subject to applicable regulatory approvals and disclosures to stakeholders,” read part of the fake statement.
The press release further claimed that the transaction demonstrated the growing appeal of Kenya’s capital markets to regional investors and confidence in the media and communications sector.
In an official statement, CMA dismissed the press release as fake, urging the public to disregard the claims as false and misleading.
Through its verified communication channels, the Authority clarified that no such transaction had occurred and that no approvals had been granted for any acquisition of Standard Group Plc by Crystal Ventures Ltd.
The now-debunked document falsely indicated that Crystal Ventures had completed a significant transaction to acquire shares in Standard Group Plc, which owns prominent media brands such as KTN News and The Standard newspaper.
The reports emerged amid Standard Group’s ongoing financial challenges. The media house has been grappling with salary arrears and has faced difficulties paying former employees who resigned or were declared redundant.
Adding to its woes, high-profile resignations have rocked the organization, with Editor-in-Chief Ochieng Rapuro and seasoned journalist Eric Latiff leaving the company in recent weeks.
The dissemination of unverified reports about corporate acquisitions, particularly involving publicly listed companies like Standard Group Plc, poses significant risks.
Such information can manipulate stock prices, erode investor confidence, and damage the reputation of the companies involved. CMA emphasized that announcements concerning changes in shareholding of listed companies would only be communicated through verified press statements and disclosed on official platforms, such as the CMA website and trusted media outlets.
CMA urged the public to rely on official sources for accurate information to avoid falling prey to misinformation.
