Kenya's publicly traded company, Home Afrika Ltd., announced its plans to create two real estate investment trusts to finance about five real property projects in Sub-Saharan Africa.
The company sold shares at an opening price of 12 shillings at the Nairobi Stock Exchange and performed well after closing at 25 shillings. Buoyed by the strong performance, Home Afrika is expected to sell shares next year.
CEO Gerald Chege said the REITs will be listed in stock exchange as he hoped that the windfall will finance the planned investment in property development in five years. Home Afrika wants to expand in Uganda, South Sudan, Tanzania, Rwanda and Ethiopai.
Through its partnership with Shelter Afrique, a government housing agency, the company earlier unveiled its plan to build one million homes in the next decade.
"On average, we operate with a capital requirement of half a billion shillings at any one time," Chege said.
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