Linzi Finco LLP has listed the Linzi 003 Infrastructure Asset-Backed Security (IABS) valued at KSh 44.79 billion on the Nairobi Securities Exchange (NSE), marking one of East Africa’s largest and most innovative securitisation deals to date.
The listing, backed by future revenues from the Talanta Sports City Stadium—a flagship project for Kenya’s AFCON 2027 ambitions—was officiated during a bell-ringing ceremony attended by President William Ruto on Wednesday.
“Privatization is no longer optional,” said President Ruto. “There is compelling evidence that privatisation is necessary to eliminate inefficiencies and raise the standards of governance in our public enterprises.”
The transaction blends domestic capital mobilisation with sophisticated financial structuring and comes on the heels of Linzi Finco’s precedent-setting 2024 Sukuk issuance.
Government Signals IPO Wave Starting with Kenya Pipeline Company
During the ceremony, President Ruto announced the impending Initial Public Offering (IPO) of the Kenya Pipeline Company (KPC) scheduled for September 2025, marking Kenya’s first privatisation in a decade.
“Within one year of initial disclosure, [public enterprises] will be required to list at least 20% of their equity on the NSE,” he added.
Other state-owned firms earmarked for listing include National Oil Corporation, Kenya Literature Bureau, New Kenya Cooperative Creameries, and Rivatex East Africa.
Linzi 003 IABS—Key Terms
| Feature | Details |
|---|---|
| Issuer | Linzi FinCo 003 Trust |
| Instrument | Infrastructure Asset-Backed Security (IABS) |
| Size | KSh 44.79 billion |
| Maturity | 15 years (July 2040) |
| Return | 15.04% IRR (semi-annual) |
| Tax Incentives | No WHT, CGT, or stamp duty |
| Credit Rating | AA(KE)(IR), Stable (GCR Ratings) |
Investor protections include:
- Escrow-managed repayments
- Standby liquidity facility
- CDS account requirement under RFISMS
The issue was 100.19% subscribed by June 30, 2025, with early applicants guaranteed at least 50% allocation.
Market Reactions
“We deeply appreciate the Government’s steadfast commitment… This strategic focus is positioning capital markets as a critical engine for Kenya’s economic development,” said Kiprono Kittony, NSE Chairperson.
The listing strengthens Kenya’s infrastructure financing roadmap and showcases the NSE’s evolving role as a conduit for long-term capital and innovation in financial products.
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