The Capital Markets Authority is inviting comments from the public and other stakeholders on the draft Information Notice used to make private offers by 15 February 2019.

Private Offers are investment options made to a select group of investors such as fund managers, pension funds, high net-worth individuals who meet the criteria outlined in law. They are not directed to the larger investing public and therefore advertising such offers is prohibited.

Issuers of private offers are required by law to provide sufficient information to their prospective investors to enable them make informed investment decisions. The information is usually given in the form of an Information Notice.

According to CMA, the draft Information Notice is meant to, “…facilitate compliance with the statutory obligation on all issuers….” Additionally, the regulatory body aims to increase transparency and accountability in the Private Capital raising arena through the use of regulated products.


CMA’s draft standardised form of Information Notice outlines the minimum information a private issuer must provide when making a private offer. The information will enable the regulator carry out its role of protecting investors and regulating the market.

Besides the draft Information Notice, CMA has also designed a checklist of requirement to be included in a short form prospectus. This is issued by private issuers to their targeted investors as a convenient way of disseminating important information.

The Capital Markets Authority has invited the general public and other stakeholders to submit their comments on the draft Information Notice form and the proposed checklist on Short Form prospectus before the lapse of the deadline.

RELATED;Kenya Suspends Shares Buy-back Regulation