Family Bank has confirmed the dates for closing its register ahead of the ninth interest payment under its 2021 Medium-Term Note Programme, First Tranche.
In a notice issued under the Companies Act 2015 and signed by Company Secretary and Chief Legal Officer Erick Murai, the bank stated that the payout will be made on Friday, 19 December 2025. Eligible investors will be those whose names appear on the register by 17:00 on Thursday, 4 December 2025.
This cut-off means any transfers or changes in note ownership must be finalised before the deadline for investors to qualify.
The tranche includes two instruments:
FBKBC0052, a fixed-rate note paying 13.00 percent per year (ISIN KE7000005095).
FBKBC0053, a floating-rate note paying 12.50 percent per year (ISIN KE7000005103).
The fixed note offers a steady return, while the floating note moves with market rates, though both are viewed as solid choices for investors seeking reliable income.
Also Read: Vodacom Eyes Bigger Slice of Safaricom as Government Mulls Major Restructuring
The books will remain shut from Friday, 5 December to Thursday, 18 December 2025. During this window, no transfers will be allowed so the bank can calculate and release interest without errors or delays.
Family Bank launched the Medium-Term Note Programme in 2021 to bolster its lending capacity and support expansion. It has drawn strong demand from investors, helped by the bank’s consistency in honouring interest payments.
Investors have been urged to confirm their registration details ahead of the closing date and to sort out any issues early. Queries on the payout schedule or the closure period can be directed to the bank’s investor relations team.
The broader bond market in Kenya has been gaining traction as savers chase higher returns than those offered by traditional deposit accounts. Family Bank’s notes have attracted both institutional and retail buyers, supported by the bank’s transparent communication and adherence to regulatory standards.
Background on the MTN Programme
Launched with CMA approval in 2021, Family Bank’s Medium-Term Note Programme allows the bank to raise up to KSh 8 billion. The first tranche opened in June 2021 with a target of KSh 3 billion but ended up oversubscribed, bringing in KSh 4.42 billion.
The notes, listed on the Nairobi Securities Exchange, include fixed-rate options at 13.0 percent per annum and floating-rate options tied to the 182-day Treasury bill plus 250 basis points, capped at 13.25 percent and floored at 12.50 percent.
CMA Rules on Corporate Bonds
Kenya’s Capital Markets Authority requires issuers of fixed-income securities to have posted a profit in at least two of the past three years, and their total debt cannot exceed four times their net worth. They must also maintain an average funds-from-operations to total-debt ratio of at least 40 percent over three years.
Firms that fall short may issue bonds with a guarantor such as a bank or insurer. Issuers must also appoint a trustee to safeguard investor interests.
This steady tightening of standards has helped strengthen confidence in Kenya’s growing corporate bond market, where issuers like Family Bank are becoming increasingly active.
