• Safaricom raises 20B KES in oversubscribed bond, beating 15B KES target
  
  
• Investor demand hit 41.4B KES; five-year bonds yield 10.4% annually
  
  
• Bond issue follows 52% profit rise, driven by Kenya and Ethiopia growth

Kenya’s Safaricom PLC has closed the first tranche of its medium-term domestic bond programme, which has an overall size of 40 billion Kenyan shillings (KES). The company raised 20 billion KES ($155 million), above its initial target of 15 billion KES.

Investor demand reached 41.4 billion KES, an oversubscription of 275.7%. “Following the strong demand, we exercised the 5 billion KES green shoe option, increasing the total allotment for the first tranche to 20 billion KES. This reflects investor confidence in our long-term strategy,” Safaricom said.

The five-year bonds carry an annual interest rate of 10.4%. The minimum subscription amount was set at 50,000 KES, allowing both institutional and retail investors to participate. The transaction was arranged by SBG Securities, Stanbic Bank Kenya and Standard Chartered Bank Kenya, with Dyer & Blair Investment Bank acting as placing agent.

The strong uptake comes as Safaricom reports solid earnings. Listed on the Nairobi Securities Exchange, the company posted a 52.1% rise in group net profit to 42.8 billion KES for the half-year ended Sept. 30, 2025, underscoring continued growth in its Kenya and Ethiopia operations.

SG