Kenyan real estate firm Home Afrika to raise $10 mln with bond

Reuters
A stockbroker transacts shares during a trading session at the Nairobi Securities Exchange in Kenya's capital Nairobi January 11, 2012. REUTERS/Thomas Mukoya

NAIROBI (Reuters) - Kenyan real estate company Home Afrika said on Thursday it planned to raise 900 million shillings ($9.98 million) with a five-year fixed rate bond, to fund three projects across the country. Home Afrika said the note would have an interest of 13.5 percent and would be on sale between Nov. 27 and Dec. 10. It will start trading on the Nairobi Securities Exchange on Dec. 19. Separately, privately-owned Commercial Bank of Africa on Wednesday started selling a medium term note to raise 8 billion shillings, with a greenshoe option for another two billion. The bank said in its information memorandum for the note, seen by Reuters on Thursday, that the note would have a tenor of no longer than five years. Proceeds will be used to boost its capital base, in line with regulatory requirements, and to fund regional expansion, it said. The note will be on sale until Dec. 10, and will be listed on the Nairobi Securities Exchange on Jan. 20, the bank said. (1 US dollar = 90.1500 Kenyan shilling)