Cairo – Mubasher: EFG Hermes, a subsidiary of EFG Holding, has announced that its investment banking division closed the issuance of an EGP 600 million senior unsecured short-term note for the Hermes Securities Brokerage Company (HSB).
This issuance marks the fifth for the company and the second within an approved two-year programme valued at EGP 2 billion, according to a press release.
Middle East Ratings and Investor Services (MERIS) affirmed HSB's national scale long-term senior unsecured entity rating at ‘BBB+’ with a stable outlook, along with a short-term senior unsecured issuer rating of ‘P2’.
The 12-month bullet note will feature a variable rate coupon paid after 6 months and at the bond's maturity. The proceeds will be utilised to diversify HSB's funding sources.
Maged El-Ayouti, Co-Head of Investment Banking at EFG Hermes, said: “The issuance is a continuation of our ability to leverage the division to serve the Group’s subsidiaries, whether Valu, HSB, or EFG Corp-Solutions, in raising capital in the Egyptian Debt Capital Market.”
“As the foremost investment bank in the MENA region’s DCM space, EFG Hermes has spearheaded transformative financial solutions, catalyzing growth and innovation within the financial ecosystem and unlocking local and international investors' access to the region's investment products,” El-Ayouti added.
In 2023, EFG Holding reported a consolidated net profit after tax and minority interests of EGP 2.49 billion, marking a 39% year-on-year (YoY) increase from EGP 1.80 billion.
