I&M Bank Limited has successfully closed the public offer for the first tranche of its Kenya Shillings-denominated Medium-Term Note (MTN) Programme, with investor demand significantly exceeding expectations. The offer achieved a subscription rate of 232.26%, attracting applications totaling KES 23.23 billion, compared with the targeted KES 10 billion.
The strong demand prompted the bank to exercise a KES 3 billion green-shoe option, increasing the total allotment for the first tranche to KES 13 billion.
The oversubscription reflects investor confidence in the bank’s financial performance, governance structure, strategic direction, and market position. It also points to renewed confidence in Kenya’s capital markets and a growing appetite for structured corporate bond offerings, underscoring the role of debt markets in financing long-term economic growth and private-sector expansion.
Structured as a fixed-rate note with a tenor of five and a half years, the tranche forms part of I&M Bank’s broader long-term financing strategy. The funds will support onward lending, strengthen the bank’s Tier II capital position, and drive strategic business growth initiatives.
The successful outcome of the offer also serves as a strong endorsement of the Bank’s iMara 3.0 strategy, reflecting investor confidence in its long-term growth agenda and market direction.
Commenting on the performance of the offer, Kihara Maina said, “The strong response to this offer is a clear vote of confidence in I&M Bank’s long-term strategy, financial resilience, and disciplined execution. It also reinforces market confidence in our iMara 3.0 strategy and our ambition to deepen leadership in our core markets while building relevance in new growth segments and ecosystems. We are encouraged by the quality and depth of investor participation and remain committed to delivering sustainable growth and long-term value to all our stakeholders.”
Mr. Maina added that the successful outcome of the transaction was also encouraging for the broader financial markets ecosystem.
“The success of this issuance is not only positive for I&M Bank, but also for Kenya’s capital markets. It signals growing investor confidence in corporate bonds as an important asset class and demonstrates the continued depth, resilience, and maturity of Kenya’s capital markets.”
Successful applicants are expected to receive allotment confirmations via email, with the Notes scheduled to be credited to investors’ CDSC accounts on or around 19 May 2026.
The Notes are also set to be listed on the Nairobi Securities Exchange Main Fixed Income Securities Market Segment on 21 May 2026, subject to regulatory approvals and the completion of post-allotment procedures.
The MTN Programme marks a significant step in I&M Bank’s broader strategy to diversify its funding sources, strengthen balance sheet resilience, and increase its participation in Kenya’s capital markets.
Go to TECHTRENDSKE.co.ke for more tech and business news from the African continent and across the world.
Follow us on WhatsApp, Telegram, Twitter, and Facebook, or subscribe to our weekly newsletter to ensure you don’t miss out on any future updates. Send tips to editorial@techtrendsmedia.co.ke
