Telecommunication giant Safaricom has been cleared by the Capital Markets Authority (CMA) to establish a Medium-Term Note (MTN) Programme.
The approval issued on November 7, 2025 will see Safaricom issue corporate bonds in an aggregate principal amount of up to Sh40 billion.
“The Board of Directors of Safaricom PLC (the Company) is pleased to announce that the Capital Markets Authority, in exercise of its powers under Section 30A of the Capital Markets Act (Chapter 485A of the Laws of Kenya), has on 7 November 2025, approved for the Company to establish a Medium-Term Note programme,” said Safaricom’s Board of Directors.
The fundraising initiative is designed to be executed in various tranches over the medium term. The telco plans to issue different kinds of bonds, such as green, social, or sustainability bonds, which support environmental and community development projects.
The telco is said it will issue detailed information on the program in the coming days including how the bonds will work, their terms, and how the public can invest.
“This announcement has been issued with the approval of the Capital Markets Authority pursuant to the Capital Markets (Securities) (Public Offers, Listing and Disclosures) Regulations, 2023 as amended from time to time. As a matter of policy, the Capital Markets Authority assumes no responsibility for the correctness of the statements appearing in this announcement,” the telco stated.
The Safaricom bond announcement comes shortly after the East African Breweries PLC (EABL) successfully concluded the first tranche of its new Sh20 billion Domestic Medium-Term Note Programme.
EABL raised a total of Sh16.76 billion after the offer was significantly oversubscribed by 52.4 percent against an initial target of Sh11 billion, signaling high investor demand.
In response to the overwhelming investor interest, EABL exercised the green shoe option, a provision that allows issuers to accommodate additional demand, thereby accepting an extra Sh6 billion beyond the initial target.
The 5-year Notes will yield an attractive annual coupon rate of 11.80%, maturing on November 18, 2030.
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