Treasury CS John Mbadi. Photo | courtesy.
The ministry of Treasury has announced a successful pricing of Sh64 billion ($500 million) worth of 8.25 percent Amortising Notes due in 2032 through a private placement.
The funds raised are set to support the national budget and assist in liability management operations, according to a statement released by the National Treasury.
“The net proceeds of the issue of the Notes are intended to be utilised for general budgetary support and liability management operations,” the statement read.
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The Notes have been priced at 100 percent, with settlement scheduled for April 30, 2025.
The announcement comes as Kenya continues to seek strategic financing options to manage its growing debt obligations while maintaining economic stability.
The Notes, however, are not being offered to the public and are not registered under U.S. securities laws.
“The Notes will not be registered under the U.S. Securities Act of 1933, as amended… and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons,” the statement read, citing regulatory compliance measures.
In addition, the government clarified that the announcement does not represent a public offering.
“This announcement does not constitute an offer to sell or the solicitation of an offer to buy the Notes or any other security,” it stated, adding that such offers or sales would be unlawful in jurisdictions where the Notes are not authorised.
The release also noted that the information provided could qualify as insider information under financial disclosure laws.
“This announcement relates to the disclosure of information that qualified or may have qualified as inside information within the meaning of Article 7(1) of the Market Abuse Regulation (EU) 596/2014,” the statement read, referencing applicable EU and UK financial regulations.
