Safaricom PLC, Kenya’s leading telecommunications company, has officially announced that it has secured approval from the Capital Markets Authority (CMA) to establish a Medium Term Note (MTN) Programme. The approval was granted by the CMA on 7 November 2025.
The MTN Programme will allow Safaricom to issue corporate bonds in an aggregate principal amount of up to Ksh. 40 Billion. This substantial fundraising initiative is designed to be executed in various tranches over the medium term.
Importantly, Safaricom can choose to issue different kinds of bonds, such as green, social, or sustainability notes, to appeal to investors interested in ESG (Environmental, Social, and Governance) goals.
Safaricom is moving forward with the first bond offering (Tranche 1). Before it can be issued, two things must happen: final commercial terms must be set, and the CMA must give final approval. Safaricom will share the official timeline later.
The corporate bond market has received a boost in recent months with an EABL bond and now this upcoming Safaricom bond offering.
East African Breweries PLC (EABL) successfully concluded the first tranche of its new Ksh. 20 billion Domestic Medium-Term Note Programme. They raised a total of Ksh. 16.76 billion after the offer was significantly oversubscribed by 52.4% against an initial target of Ksh. 11 billion.
Due to robust demand, EABL exercised a green-shoe option of Ksh. 6 billion, accepting all bids for a 100% allotment rate. The funds are earmarked to finance investments, repay debts, refinance short-term borrowings, and provide working capital. The 5-year Notes will yield an attractive annual coupon rate of 11.80%, maturing on November 18, 2030, and are expected to be listed for trading on the Nairobi Securities Exchange (NSE) on November 25, 2025.