The largest listed manufacturer in Kenya, East African Breweries PLC (EABL), has returned to Kenya’s corporate bond market with a KSh 11 billion, five-year fixed-rate note, priced at 11.80%, under a KSh 20 billion Medium-Term Note Programme approved by the Capital Markets Authority on 2 October 2025.
- •The brewer will apply the proceeds for the Group’s general corporate purposes and to repay certain borrowings, according to the official Pricing Supplement.
- •The notes rank pari passu with all other unsecured debt of the issuer and are governed by Kenyan law.
- •The notes, issued at par with a minimum subscription of KSh 10,000, pay semi-annual interest on 18 May and 18 November each year, calculated on an Actual/364 basis.
The issue is callable at the issuer’s option with 15 to 30 days’ notice, and interest is subject to withholding tax except for exempt institutions.
Allotments will be done on a pro-rata basis for retail investors and at the issuer’s discretion for institutional buyers, with a 50% minimum success threshold.
The detailed terms of the note issuance are summarized below:
Key Facts
| Metric | Detail |
|---|---|
| Issue Size | KSh 11.0 Billion |
| Coupon Rate | 11.80% Fixed (Semi-annual) |
| Tenor | 5 Years (2025–2030) |
| Status | Senior Unsecured, pari passu with other unsecured debt |
| Default Interest Rate | 2% above the Fixed Interest Rate |
| Bond Code | EABL-FXD01/01/2025/05 |
The offer opens on 27 October 2025 and closes on 10 November 2025, with listing on the Nairobi Securities Exchange scheduled for 25 November. Investors must be on the register 15 calendar days before each interest payment date to receive interest, with books closed from 3–17 May and 3–17 November each year.
Key Dates
| Event | Date |
| Offer Opens | 27 October 2025 |
| Offer Closes | 10 November 2025 |
| Issue/Payment Date | 18 November 2025 |
| Listing on NSE | 25 November 2025 |
Absa Bank Kenya PLC and Absa Securities Limited are the joint arrangers and placing agents, supported by Bowmans Kenya as legal counsel, PwC as reporting accountants, Image Registrars as paying agent, and MTC Trust & Corporate Services as trustee.
Key Investor Considerations
The notes are unrated, and EABL retains the right to cancel the issue in the event of a Withdrawal Event before settlement. The new tranche marks a continued commitment by the brewer to strengthen its debt profile while maintaining balance sheet discipline in a moderating interest-rate environment.
