I&M Bank Limited has closed the first tranche of its Kenya Shilling denominated Medium Term Note Programme, attracting KES 23.22 billion in total applications against a KES 10 billion target.
This overwhelming response represents a 232.26% subscription rate. To accommodate the intense investor appetite, the bank activated its KES 3 billion green shoe option, increasing the total allocation for this initial tranche to KES 13 billion.
This exceptional turnout demonstrates deep investor trust in the financial stability, governance, and long term trajectory of the bank. The transaction also signals a broader revival within the Kenyan capital markets. Institutional and private investors are demonstrating a clear hunger for quality corporate bonds, a trend that strengthens the role of private debt in funding national economic growth.
Funding Long Term Corporate Growth
Structured as a fixed rate note with a five year, six month tenor, this initial issuance forms a critical pillar of the long term capital strategy for the bank. The capital raised will fund onward lending to corporate and retail customers, boost capital adequacy ratios through Tier II capital injection, and finance regional expansion plans.
The market response serves as a direct endorsement of the iMara 3.0 strategic cycle. By securing these funds, the bank stabilizes its balance sheet and establishes the financial runway necessary to scale operations into new economic ecosystems.
Group Leadership Reflects on Market Trust
Commenting on the close, I&M Group Regional CEO Kihara Maina noted that the transaction validates the operational discipline of the company. The participation from both retail and institutional investors proves that the market trusts the execution of the iMara 3.0 strategy. He emphasized that the bank remains focused on delivering sustainable returns to stakeholders while deepening its footprint in core markets.
Mr. Maina also highlighted the positive implications for the wider financial system. The success of this issuance proves that corporate bonds remain a vital asset class for investors. The liquidity unlocked during this sale demonstrates the resilience and maturity of the broader Nairobi Securities Exchange ecosystem.
Allotment Timelines and Secondary Market Listing
Applicants will receive their formal allotment confirmations via email. The Central Depository and Settlement Corporation accounts of successful investors will reflect the credited notes on May 19, 2026.
The notes will debut on the Main Fixed Income Securities Market Segment of the Nairobi Securities Exchange on May 21, 2026. This listing remains subject to final regulatory approvals and the completion of standard post allotment procedures. Secondary market trading will commence immediately following the ring of the bell.
