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Rwanda power producer Energicotel’s $1.38mn bond oversubscribed

Electricity transformer @ Unsplash
Electricity transformer @ Unsplash
  • Energicotel’s $1.38mn bond oversubscribed by 145%
  • Investors show rising confidence in Rwanda’s energy and capital markets

 

KIGALI, RWANDA – Energicotel PLC, Rwanda’s independent power producer and engineering consulting firm, has successfully raised $1.38 million through its latest corporate bond issuance, which was oversubscribed by 145%.

The development signals robust investor confidence in the country’s growing energy sector.

The bond marks the second issuance under the company’s $4.5 million long-term programme listed on the Rwanda Stock Exchange since 2021. The seven-year bond carries a fixed annual coupon rate of 13.75%, payable semi-annually.

“This oversubscription is a strong endorsement of our creditworthiness and growth strategy,” said Eng. Carine Mukashyaka, Managing Director of ECTL Transaction Advisors. “This milestone not only strengthens our capital base but also reinforces our commitment to delivering sustainable returns for investors.”

The latest listing brings the total number of instruments on Rwanda’s stock market to more than 100, including six corporate bonds across the agriculture, energy, health, and finance sectors, 86 government bonds, and 10 listed companies.

Expanding Rwanda’s energy footprint

Energicotel operates three micro-hydroelectric plants across Rwanda and has contributed engineering services to key regional infrastructure projects, including the Rusumo Falls 80 MW hydropower project jointly developed by Rwanda, Burundi, and Tanzania.

The company has also designed and commissioned the Rubavu Port Substation and is currently working on the Rusizi Port Substation. As the firm enters its second decade, it is expanding into new sectors to ensure sustainable growth.

Among the projects in development for 2026 are new hydropower plants in both Kenya and Rwanda. ECTL is also venturing into gas trading and distribution through its subsidiary ECTL Gas, which will focus on wholesale and retail LPG supply, cylinder refilling, and safe gas storage for both households and industries.

Additionally, the company is investing in ECTL Solar, dedicated to providing innovative solar energy systems and battery storage solutions across national and regional projects.

The oversubscription of Energicotel’s bond underlines rising investor confidence in Rwanda’s capital markets. Analysts say the Rwanda Capital Markets Authority’s reforms and investor-friendly policies have positioned the country as an emerging financial hub in East Africa.

The authority has worked to mobilise long-term capital and promote a fair, transparent, and efficient market – helping to nurture wealth and support Rwanda’s ambition of becoming a competitive financial centre in the region.

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