Housing Finance (HF) managing director Frank Ireri. PHOTO | FILE |
What you need to know:
The offer will open on February 19 and run till March 13.
Kenyan mortgage firm Housing Finance set the price of its Sh3.5 billion ($38.29 million) rights issue at Sh30 each, it said on Tuesday.
The offer price represents a 28.9 per cent discount on the weighted average closing market price of its shares for the six months to the end of last October, it said.
Funds raised from the one for every two shares held issue will be used to help the company increase lending.
Housing Finance turned to the cash call after high interest rates forced it to abandon plans for a corporate bond issue last year.
The offer will open on February 19 and run till March 13, said Housing Finance, the only listed dedicated mortgage firm in the country.
Kenya needs 210,000 new housing units a year, well above the 50,000 houses actually built, according to a study by the country's central bank and the World Bank. Several banks have been seeking funds to expand lending to mortgage seekers.
