From L-R: NSE Chairman Kiprono Kittony, CMA Chairman Nicholas Nesbitt, National Treasury & Planning Cabinet Secretary Amb.Ukur Yatani, CBK Governor Dr.Patrick Njoroge, KMRC Chairman Haron Sirima and NSE CEO Godfrey Odundo during the listing and bell ringing ceremony to mark the commencement of trading of KMRC’s corporate bond at the NSE floor. NAIROBI, Kenya, March 14 – The Kenya Mortgage Refinance Company PLC (KMRC) on Monday officially rang the bell to mark the listing and the commencement of trading of the KMRC Corporate Bond on the Nairobi Securities Exchange (NSE).
The Company’s first tranche of the Medium-Term Note program was oversubscribed by more than 400 percent, netting applications worth Shs 8.114 billion against a target of Kes 1.4 billion.
The proceeds raised will enable KMRC blend its inventory of concessional funds and scale up operations, as it seeks to continue to refinance home loans and make them affordable and within reach for more Kenyans.
The KRMC Corporate Bond, according to KMRC’s CEO Johnstone Oltetia, is a strategic landmark issue, and the investor response demonstrates a vote of confidence in the company’s strategic direction.
“The response to our inaugural bond issue demonstrates the market’s confidence in the KMRC’s model and strategy and is statement to the importance of the Company’s mandate to increase homeownership and transform the country’s housing sector. Today, we firmly establish our entry into the local capital markets for the core purpose of sustainably raising long-term funding for the Company’s operations,” Mr. Oltetia stated, adding, “building a bankable and tenable long-term capital is at the core of our Strategic Plan and objective to make housing affordable for our people.”
Speaking during the bell-ringing ceremony at the NSE, the Capital Markets Authority Chief Executive Officer Wyckliffe Shamiah said the overwhelming market response to the Kenya Mortgage Refinance Company Medium-Term Note Programme with a 480 percent oversubscription on the first tranche signals growing investor confidence.
“This is a major milestone which positions the capital markets as a source of funding to support productive economic activities such as delivery of affordable housing, which is one of the pillars of the National Big Four Agenda. It affirms the growing issuer and investor confidence in the bond market,” he said.
Congratulating KMRC on its tremendous growth over the past few years and welcoming them on the market, NSE Chairman Kiprono Kittony stated: “This is a major milestone not only for the Company […]