In a significant move for the Kenyan financial market, Safaricom has successfully raised KSh 20 billion from the first tranche of its corporate bond, showcasing overwhelming investor interest. The telecom giant's bond offering has attracted a staggering oversubscription rate, highlighting the confidence investors have in the company's growth prospects. Based on the data provided in the document, this trend reflects a broader optimism in the region's economic recovery.
Record Demand for Bond Issuance
The bond issuance saw applications soar to KSh 414 billion, far exceeding the initial target of KSh 15 billion. This remarkable demand prompted Safaricom to exercise a KSh 5 billion greenshoe option, ultimately increasing the total allotment for Tranche 1 to KSh 20 billion. The offer period concluded on December 5, 2025, reflecting a robust appetite for corporate bonds in the region.
Details of the Green Notes
The Green Notes, which will be listed on the Nairobi Securities Exchange on December 16, 2025, feature a 5-year tenure and a fixed interest rate of 10.4% per annum, with interest payments scheduled biannually. The capital raised through this bond will be strategically allocated to enhance infrastructure in both the Kenyan and Ethiopian markets, reinforcing Safaricom's commitment to expanding its operational capabilities.
In a contrasting development, Twenty One Capital recently announced a partnership with Cantor Equity Partners, which has reportedly led to a significant drop in shares. For more details, see the full report here.
