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Kenya's first Reits offer misses target

Shoppers at Greenspan Mall in Donholm, Nairobi. It is among properties that Stanlib is seeking to buy with  its Reits issue proceeds. PHOTO | FILE
Shoppers at Greenspan Mall in Donholm, Nairobi. It is among properties that Stanlib is seeking to buy with its Reits issue proceeds. PHOTO | FILE 

Kenya’s first Income-Real Estate Investment Trust (Reit) issued by Stanlib Investments has raised under one-third of the targeted Sh12.5 billion in what analysts attributed to competition from other instruments and poor grasp of the concept.

The Fahari I-Reit managed to raise Sh3.6 billion through the offering, the company said in a notice. It termed the offer a success since it exceeded the minimum Sh2.6 billion target.

“Following the closing date of receipt of applications and payment for units in the Stanlib Fahari I-Reit on Wednesday 18 November 2015, Stanlib Kenya limited (the issuer) is pleased to announce that the offer exceeded the success threshold of Sh2.6 billion as it has received applications for units amounting to Sh3,619,446,000,” said Stanlib in an advert.

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