, NAIROBI, Kenya Oct 7 – The CIC Insurance Group Corporate Bond has been oversubscribed by 111 percent raising a sum of Sh6.34 billion from the initial target of Sh3 billion.
The group’s Managing Director Nelson Kuria said the subscription was from across all market segments among them local institutional investors, financial institutions, the insurance sector and the general public.
Kuria said the company will exercise the Green Shoe option and accept an additional Sh2 billion from the total amount raised.
“The funds raised will be used to drive the company’s transformational business objectives focusing mainly on the Real Estate Business, Regional expansion into South Sudan, Uganda and Malawi; new products targeting the micro insurance sector and recapitalisation of its subsidiaries and other corporate purposes,” Kuria said.
The bond will be listed at the Nairobi Securities Exchange on October 15.
“The oversubscription which has been achieved is an indication of the investing public confidence in CIC insurance group strategy” Kuria added.
The advisors to this issue were Kingdom Securities Limited and NIC Capital Limited as the Mandated Lead Arrangers.
Mboya Wangongu’ and Waiyaki were the Legal Advisors, Co-operative Bank of Kenya Limited as the Receiving Bank and Registrars, Deloitte as the Note Trustee and Reporting Accountants and Gina Din communications as the Media and Public Relations Adviser.