NewsEast & Horn AfricaKenya's ARM Cement seeks up to $105 million in bond to retire other debt

Thu,23Nov2017

Posted on Tuesday, 17 November 2015 07:36

Kenya's ARM Cement seeks up to $105 million in bond to retire other debt

By Edmund Blair

Kenya's ARM Cement aims to raise up to $105 million via a privately placed five-year bond to retire more expensive short-term debt, Kenya's Business Daily newspaper reported.

The bond offer by east Africa's second biggest cement producer opened on Thursday and would run until 2 December, the newspaper reported.

The proceeds from the five-year bond will be used to replace existing short term borrowings

"The proceeds from the five-year bond will be used to replace existing short term borrowings. There is no increase in total debt only refinancing existing short-term debt," Pradeep Paunrana, chief executive of ARM Cement, told the paper.

ARM planned to raise $90 million from the debt securities, with an option to take in an extra $15 million should the original amount be oversubscribed, the newspaper reported.

The chief executive told Reuters he would provide information on the bond issue on Tuesday but was not immediately in a position to do so.

ARM Cement posted a pretax loss of 645 million shillings ($6.32 million) for the nine months to September, blaming losses related to the depreciation in regional currencies against the dollar. 



Subscriptions Digital EditionSubscriptions PrintEdition

FRONTLINE

NEWS

POLITICS

HEALTH

SPORTS

BUSINESS

SOCIETY

TECHNOLOGY

COLUMNISTS

Music & Film

SOAPBOX

Newsletters

Keep up to date with the latest from our network :

subscribe2

Connect with us