Cairo – Mubasher: The investment banking division of EFG Holding concluded advisory on the first issuance for Egyptian Mortgage Refinance Company (EMRC) in a securitised bond offering worth EGP 472 million.
This comes as the first issuance in a newly approved EGP 3 billion securitisation programme, according to a press release.
The first tranche is valued at EGP 66.10 million, holding a tenor of 13 months and a credit rating of AA+ from the Middle East Ratings and Investors Service (MERIS). Meanwhile, the second offering stood at EGP 193.5 million, with a maturity period of 36 months and a credit rating of AA from MERIS
The third issue amounted to EGP 212.4 million and carries a tenor of 69 months and a credit rating of A from MERIS.
Maie Hamdy, Managing Director - Debt Capital Markets at EFG Hermes, commented: “EFG Hermes continues to reinforce its role as a pioneer in Egypt’s debt capital market, advising on an extensive variety of securitization deals in the country and garnering widespread investor interest.”
Ehab Abou Ali, Managing Director from EMRC, said: “By securitising portfolios for mortgage companies, we aim to enhance their liquidity, strength capital structure, and promote accessibility for homeowners and prospective buyers.”
“This collaboration with EFG Hermes aligns with our mission to facilitate the development of the housing finance sector and will aid us in the realization of our goals and long-term growth strategy,” Ali noted.
This issuance follows the EGX-listed company’s successful closing of an EGP 472.5 million securitised bond for Palm Hills Development, and an EGP 958 million issuance for Bedaya Mortgage Finance.
The investment banking division also concluded an EGP 805.5 million issuance for Madinet Masr, Al Taamir Mortgage Finance – Al Oula’s EGP 998.5 million issuance, Valu’s EGP 856.50 million issuance, as well as an EGP 986 million issuance for Misr Italia Properties.
In the first half (H1) of 2023, the consolidated net profits attributable to the shareholders of EFG Holding hit EGP 1.28 billion, higher than EGP 680.70 million in H1-22.
