Safaricom Prospectus
BTW, MJ - who I thought was S.African - is a US citizen...
Since most banks will provide shares financing, I expect a substantial over-subscription. Most banks will accept the (expected) refunds & alloted shares as security. Many banks want the interest pre-paid for 45-60 days when you take the loan.
Sampling of banks offering loans:
- Equity - one of the receiving banks has a sweet deal. They lend money that gets back to them immediately with the application. They can re-lend the funds...
- CFC Bank - 75% LTV.
- I&M - 75% LTV (max loan is KShs 5mn). They are flexible & great to work with but they do not want 'smaller' loans since they don't have the capacity to handle too many clients.
There are many more out there... I haven't checked... The banks are limiting the total loans they give for Safaricom to manage risk & liquidity, so apply early... or you will not be able to borrow...
The 'claw-back' from the foreign pool is unlikely since it would require a 200% over-subscription from the domestic pool. This means an extra KShs 65bn has to be applied for before the clawback clause kicks in. Unlikely. Furthrmore, the clawback is proportional meaning its only to the extent the 200% level is maintained.
