Centum Investment CEO, Dr James Mworia (centre) admires the artistic model of Sabis International School, Runda during the launch of the school at Two Rivers Mall. [Photo: FILE] Centum Investment plans to raise Sh4 billion from local investors to finance the ongoing housing projects in Kenya
To be floated through its development subsidiary Centum Real Estate, the bond is intended to fund the company’s projects that are already under construction and at various stages of completion.
"Proceeds from the bond will be allocated exclusively to the subsidiary’s ongoing affordable, middle-income and high-end housing projects in Kenya," revealed the firm in a statement.
It comes as Centum Real Estate has approved a project pipeline of 4,426 residential units, where the first phase of 2,000 units is under construction while others are pre-selling. Read More
Centum Real Estate Managing Director Samuel Kariuki said subscribers to the bond will have an option of investing in an equity-linked component.
“We are keen on addressing existing gaps in the linkage between Kenya’s real estate sector and the capital markets,” he said.
Kariuki further expressed confidence in the ability of the firm to repay the bond in time, adding that all the projects are currently debt-free even as he noted that the same is funded using "internally generated resources."
The bond is expected to be listed for trading on the NSE at a later date.
Centum Real Estate Limited is the holding company for the Group’s Vipingo Development Limited in the Kenyan Coast, Pearl Marina Estates Limited in Uganda, Uhuru Heights Limited in Nairobi, and Centum Development Kenya Limited.
