, NAIROBI, Kenya, Aug 18 – Real People’s Sh1.63 billion bond has started trading at the Nairobi bourse with the proceeds expected to boost the company’s lending capacity.
The medium term note that was launched in early August 2015 targeting retail, high net worth individuals and institutions, saw investors take up Sh1,363,900,000 in five-year Fixed Rate Notes and Sh270,300,000 in three year Fixed Rate Notes.
The first tranche under the Sh5 billion programme was offered in three year and five year Fixed Rate Note as per the Information Memorandum approved by the Capital Markets Authority (CMA).
“This is a significant milestone as a financial institution. We are happy to be the first credit only financial institution to have successfully gone through the entire bond process and have the Notes listed at the Nairobi Securities Exchange,” Real People East Africa CEO Daniel Ohonde noted.
“At this stage, we continue to grow and play a big role in the financial sector,” Ohonde added.
Speaking at the ceremony, NSE Chief Executive Geoffrey Odundo noted that the high uptake of the Real People Bond from local investors as testament of confidence in the fund raising opportunities that capital markets have to offer.
Odundo elaborated that listing on the bourse enables an institution to improve their liquidity, unlock their value, enhance their company profile, raise their governance standards while maximizing value for their shareholders.
He urged corporates to look no further than the bourse, as they seek to raise capital to fund their various initiatives.
The bond process was led by NIC Capital as the transaction advisors, PKF, the reporting accountants, Coulson Harney, as the legal advisors, NIC Bank as the registrar and the receiving bank.