KEY POINTS
- UK court orders Paul Ndung’u to repay $2.9 million to former co-shareholders.
- Ndung’u’s appeal to reclaim a 17 percent SportPesa stake is blocked.
- SportPesa continues operations under institutional and foreign investors.
A London court has ordered Paul Ndung’u, one of the co-founders of SportPesa, Kenya’s biggest sports betting site, to pay back Ksh374 million ($2.9 million) to former co-shareholders. This ends a long legal struggle about who owns the company.
Ndung’u’s attempt to get back a 17 percent interest in the betting company he helped start in 2014 was turned down, so he has no fast way to get back into the company. The dispute stemmed from disagreements among founders as SportPesa grew into one of East Africa’s most recognized betting brands.
Court ruling blocks Ndung’u’s appeal
The UK court, in a decision delivered on Dec. 10, 2025, dismissed Ndung’u’s appeal of earlier judgments and ordered him to cover legal costs incurred by his former partners.
The case revolved around whether prior agreements allowed him to reinstate his stake after structural changes in the company. The court sided with other shareholders, confirming that the original ownership arrangement could not be reopened.
Ndung’u had previously been removed from day-to-day operations because of internal restructuring and regulatory pressures on Kenya’s gaming sector. Now he is facing a big legal and financial defeat.
SportPesa’s turbulent growth highlights early partnership risks
According to Billionaires Africa, The ruling underscores risks faced by founders of fast-growing companies in Africa, particularly when shareholder protections are weak and regulatory frameworks shift. SportPesa, which initially gained traction through heavy marketing and football sponsorships, has seen control pass to institutional and foreign investors following the exit of several original backers.
Founded in 2014 by a mix of Kenyan and Bulgarian investors, SportPesa quickly became a household name across East Africa. Because of harsher gambling laws in Kenya, the firm had to reduce back there. It also had to restructure how it was owned and focus its efforts on following the rules in other nations.
The court’s decision concludes a chapter for Ndung’u that began with success in business and ended with costly lawsuits. It is a caution for new businesses that want to do deals, follow the rules, and grow quickly in African markets.
