Imperial Bank received approval for its bond from the Capital Markets Authority (CMA) on August 12, allowing the bank to market the bond to the public/FILE
Imperial Bank received approval for its bond from the Capital Markets Authority (CMA) on August 12, allowing the bank to market the bond to the public.
Chairman Alnashir Popat said the bond is an unsecured subordinate debt whose minimum application per client is pegged at Sh1,000,000.
“With the funds raised, the bank will be able to realise its regional expansion strategy and will be better placed to enrich its offering,” Popat said.
The notes will mature on December 21, 2020 and will carry an annual fixed interest rate of 15 percent per annum.
Imperial Bank is targeting local institutional investors, individual retail investors and fund managers to participate in the bond issue.
“Our solid fundamentals make this bond issue an attractive investment vehicle for the investors. Apart from offering an attractive return of 15 percent per annum, the bond will be listed on the Nairobi Securities Exchange, offering investors an opportunity to trade and cash-in any time before the expiry of the 5.25 years,” the chairman said.
The offer will close on September 17, 2015 with listing on the Nairobi Securities Exchange and commencement of trading expected on October 30, 2015.
