NAIROBI, Kenya, Feb 22 – Standard Bank has successfully completed the repayment of Kenya’s $1.5 billion Eurobond that was expected to mature in June this year.
This is Kenya’s first transaction since 2021, the lender said, even as she looks to diversify its funding sources and return to the capital markets.
In November last year, the government picked the bank as well as Citi as a joint deal manager for Kenya’s Eurobond repayment.
“We are proud to have facilitated this Eurobond for Kenya. The significant demand we saw for the bond reflects the growing confidence in Kenya from investors,” Stanbic Bank Kenya and South Sudan Chief Executive Joshua Oigara said.
“We are enthusiastic about the renewed access to capital markets, the overall success of the transaction and the growth this enables,” Oigara added.
“A deep understanding of Kenya’s economy, regulations and people are at the heart of everything we do at Standard Bank. It is encouraging to see the investor community take note of the opportunity the country represents.”
Recently, Kenya successfully raised $1.5 billion to repay a previous Eurobond that was to mature on June 24, 2024.
The Eurobond, which closed on February 16th, was priced at a yield of 10.375 percent with a 9.75 percent coupon.
Its weighted average life is six years, and it will mature in 2031. During the last three years leading up to maturity, the principal will amortize in equal increments.
