Safaricom PLC has officially marked its return to the capital markets with the formal listing of its inaugural Green Bond on the Nairobi Securities Exchange (NSE).
The bond, the first issuance under Safaricom’s Medium-Term Note (MTN) Programme, was met with overwhelming demand. Total applications reached Ksh. 41.4 billion, representing a 175% oversubscription against the Ksh. 20 billion Safaricom is taking up in this first tranche. It now stands as the largest Green Bond issuance in Kenya’s history.
By integrating the application process with USSD technology and facilitating payments through M-PESA, the company enabled 59% of all applications to be completed via mobile devices.
The proceeds from the KES 20 billion raise are strictly earmarked for projects under Safaricom’s Sustainable Finance Framework. According to Group Chief Finance Officer Dilip Pal, the capital will be deployed into infrastructure that supports an energy-efficient digital ecosystem. Key priorities include:
- Accelerated 5G Deployment: Expanding high-speed connectivity across the country.
- Network Solarization: Transitioning network sites to solar power to reduce carbon footprints.
- Technology Modernization: Replacing legacy, high-energy systems with cleaner, more efficient solutions.
“This transaction is a clear vote of confidence in our fundamentals, strategy, and long-term outlook,” said Dilip Pal. “It demonstrates what is possible when local capital markets are deliberately and thoughtfully engaged.”
The successful listing was celebrated with a traditional bell-ringing ceremony at the NSE.