Valu, the leading universal financial technology powerhouse in the Middle East and North Africa (MENA), announced today the successful completion of its first-ever corporate bond issuance, with a total value of EGP 1 billion.
The transaction represents the first issuance under Valu’s EGP 10 billion corporate bond program and marks a significant milestone in the company’s funding strategy and continued growth. EFG Hermes, an EFG Holding company, and the leading investment bank in MENA, acted as the sole financial advisor, sole transaction manager, bookrunner, underwriter, and arranger on the transaction.
The bond carries a maximum tenor of 36 months and is structured into two tranches, both carrying an entity credit rating of A-. The issuance is structured as follows:
- Tranche A – Valued at EGP 460 million, with a 13-month tenor, an A- credit rating, and a fixed interest rate.
- Tranche B – Valued at EGP 540 million, with a 36-month tenor, an A- credit rating, and a variable interest rate.
The successful issuance marks another important milestone in Valu’s strategy to further diversify its funding base and strengthen access to a broad range of financing channels that support the company’s long-term growth objectives. Over the past 12 months, Valu has significantly expanded its revolving banking facilities, increasing available credit lines by EGP 16 billion to reach EGP 25 billion as of July 2026. The company has also broadened its funding sources by accessing international development financing, including securing its first financing facility from the European Bank for Reconstruction and Development (EBRD).
This diversified funding platform reflects not only Valu’s strategic approach to capital management, but also the company’s strong financial position and the confidence that both local and international financial institutions place in its credit profile and long-term growth prospects. These developments, combined with the strength of Valu’s off-balance-sheet ability to maintain a resilient and well-diversified capital structure, support the continued expansion of its business. This is in addition to USD 14 million in credit facilities secured in Jordan since the beginning of the year, further reaffirming the firm’s overall diversified access to credit.
With the addition of the corporate bond market to its funding toolkit, Valu continues to leverage multiple financing channels across local and international institutions, banks, and debt capital markets. This diversified approach is designed to provide the company with greater flexibility in managing its funding needs and supporting its long-term growth, rather than relying on a single source of financing.
Commenting on the transaction, Karim Riad, CFO at Valu, said: “Valu’s funding strategy has always been centered on diversification, flexibility, and building sustainable access to capital. Over the past 12 months, we have continued to strengthen our banking facilities while expanding our access to international and capital market funding. Our inaugural corporate bond issuance adds another important channel to this diversified funding base, complementing our existing relationships with banks and international financial institutions. This breadth of funding sources gives us greater flexibility to support Valu’s growth while maintaining a disciplined approach to liquidity and funding”.
Mahmoud Hamdy, Senior Director of Corporate Finance and Treasury at Valu, said: “The completion of Valu’s inaugural corporate bond issuance is an important milestone, not simply because it marks our first entry into the corporate bond market, but because it reflects the depth and diversification of Valu’s funding capabilities. We have deliberately built a funding model that draws on multiple sources of capital, from bank facilities and international financial institutions to the Egyptian debt capital markets. The successful completion of this issuance demonstrates our ability to access these channels effectively and positions us to continue expanding our funding ecosystem in line with the scale and ambition of Valu’s business”.
Maie Hamdy, Managing Director, Debt Capital Markets at EFG Hermes, said: “EFG Hermes is pleased to have supported Valu in completing its inaugural corporate bond issuance and the first issuance under its EGP 10 billion program.
This transaction represents an important milestone for Valu and demonstrates the continued depth and resilience of Egypt’s debt capital markets. EFG Hermes remains committed to leveraging its debt capital markets expertise to support leading companies in accessing tailored funding solutions that align with their strategic objectives and growth ambitions.”
Matouk Bassiouny & Hennawy acted as legal advisor, while Baker Tilly served as auditor.
