IN SHORT: The supposed press release claims the Capital Markets Authority has suspended East African Breweries Limited. But this is false. The brewer's shares remain active on the Nairobi Securities Exchange.
Kenya's Capital Markets Authority (CMA) has suspended the trading of East African Breweries Limited (EABL) shares on the Nairobi Securities Exchange (NSE). That's according to a press release circulating on Facebook.
This is due to alleged irregularities involving industrial ethanol.
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Dated 18 June 2025 and bearing the CMA letterhead, the document alleges that EABL has been involved in the production or distribution of counterfeit or substandard alcohol, and that its parent company, Diageo Plc, intends to stop operating in Kenya.
The suspension is reportedly in response to investigations by the Kenya Bureau of Standards (KEBS) and the Directorate of Criminal Investigations (DCI), which reportedly implicated EABL in the distribution of counterfeit alcoholic beverages.
The document also claims that EABL has suffered significant losses in terms of both revenue and reputation, prompting its board to withdraw from the Kenyan market.
The CMA regulates Kenya's capital markets. Its role is to promote fair and efficient trading, protect investors and maintain market integrity.
The NSE, on the other hand, is Kenya's main stock exchange, where companies such as EABL are listed and traded publicly.
Global drinks giant Diageo Plc owns a controlling stake in EABL, Kenya's most prominent beverage company.
In recent weeks, EABL has been trending on Kenyan social media platforms under the #EABLExit, with multiple posts accusing the company and its parent, Diageo, of negligence linked to deaths allegedly caused by "methanol poisoning".
Users allege that EABL products such as Kenya Cane have caused fatal poisonings, and they accuse Diageo of prioritising profits over consumer safety.
Some posts also reference a police raid in which over 1,000 litres of industrial ethanol were seized at an illicit distillery in Kahawa Sukari, 20 kilometres from Nairobi, the capital of Kenya.
The press release also appears here and here. (Note: See more instances at the end of this report.)
Have EABL's shares been suspended from trading due to alleged irregularities involving industrial ethanol? We checked.
Fake press release
Over the years, numerous incidents involving unlicensed residential operations producing illicit brews have been reported, none of which have been linked to EABL or its parent company, Diageo. In these cases, the authorities have not mentioned the companies in connection with the substances seized or the counterfeit alcohol.
Recent DCI press releases and reports confirm their involvement in raids on illegal distilleries. However, none of these releases or reports mention EABL or Diageo.
The CMA's official website lists press releases on regulatory actions, but there is no notice relating to the suspension of EABL shares. The website also lists NSE share prices, and EABL shares remain on the list, which indicates that trading has not been suspended.
The NSE continues to display EABL shares as normal, with no suspension notices issued. There has been no official communication, either through their platforms or traditional media, indicating any trading halt involving EABL.
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EABL, through its official X account, also flagged the press release as "FAKE".
"A fake press release dated 18 June, 2025, claims EABL shares were suspended from trading on the NSE. This is false and not issued by EABL or the Capital Markets Authority. Our operations continue as normal. Please disregard the fake notice and rely on official platforms only," wrote EABL.
NSE, through its official X account, also dismissed the press release.
"Attention: We wish to inform investors and the general public that this document circulating on social media is fake. Please disregard it," wrote NSE.
CMA, as well, posted the press release dismissing it as "FAKE".
The fake press release has also been published here, here, here and here.
