Regional brewer East African Breweries Ltd (EABL) corporate bond has been oversubscribed by 245 per cent with investor bids hitting Kes38 billion.
The company came to the market in early October seeking Ksh11 billion just months after retiring a Kes6 billion bond.
The corporate bond closed to investor bids on Thursday, last week, and is expected to list on the Nairobi Securities Exchange (NSE) corporate debt segment starting Monday, November 1.
“I am delighted with the performance of the EABL medium term note which is a testament of the renewed interest in the corporate bond market with growing issuer and investor confidence,” said CMA Chief Executive, Wyckliffe Shamiah.
EABL plans to use the funds to boost its working capital as well as refinancing of specific short-term borrowings.
The five-year timed paper has a yield of 12.25 per cent per year which is payable every six months.
In the last one year, CMA has given greenlight to the issuance and listing of Kes4 billion Centum Investments medium-term note with a Kes2 billion green shoe option, and the Kes8 billion multi-currency Family Bank medium-term note.