KENYA’S CELTEL RAISES KS4.5 BILLION FROM BOND MARKET
Celtel Kenya has raised KS4.5 billion from the Kenyan bond market. This comes on top of the KS6 billion that it raised from a group of banks and institutional lenders last year. The funds raised are to allow the company to continue its expansion programme. The bond issue was 75% gauranteed by FMO, the Dutch Government’s development finance arm but in the event the issue was oversubscribed. The issue was the largest ever bond issue on the Nairobi Stock Exchange and 30% of the issue was taken up by overseas investors.
Fifteen Kenyan investors took up the issue, including banks, investment managers and insurance companies. Celtel Kenya was advised by Standard Bank PLC, the London-based sister bank of Stanbic Bank Kenya and the capital was raised by Barclays Bank, Kenya Commercial Bank and Stanbic Bank Kenya as co-lead arrangers.