Valu, the leading financial technology powerhouse in Egypt, announced today the successful closing of its 20th securitized bond issuance, valued at EGP 1.1 billion, with EFG Hermes, an EFG Holding company and the leading investment bank in the Middle East and North Africa (MENA). The transaction marks the first issuance under Valu’s new 8th securitization program, which has a total value of EGP 10 billion.
The bond is backed by a receivables portfolio assigned to EFG for Securitization, which acts as the special purpose vehicle (SPV) for the issuance.
The bond has an 18-month tenor and is structured into two fixed-rate tranches:
- Tranche A: EGP 872.5 million, 12-month bond, rated P1 (sf)
- Tranche B: EGP 239.0 million, 18-month bond, rated A- (sf)
Karim Riad, CFO of Valu, commented: “We are pleased to celebrate another major milestone in Valu’s ongoing growth journey with the closing of our 20th securitization issuance, and the first under our new eighth program. This issuance reflects the continued confidence of investors in Valu’s financial performance and strategic expansion as we cement our position as Egypt’s leading fintech platform.”
Maie Hamdy, Managing Director – Debt Capital Markets at EFG Hermes, added: “We are proud to continue our long-standing partnership with Valu through this landmark issuance. Launching the first transaction under the new EGP 10 billion program underscores the strength of Valu’s business model, the quality of its portfolio, and the strong investor demand it continues to attract. This deal reflects EFG Hermes’ commitment to structuring and executing high-impact securitization transactions that support dynamic institutions in achieving their long-term objectives”.
EFG Hermes acted as sole financial advisor, sole transaction manager, bookrunner, underwriter, and arranger on the issuance. Arab African International Bank (AAIB) and Al Ahli Bank of Kuwait (ABK) served as underwriters, while AAIB acted as custodian. Dreny & Partners acted as legal advisor, and Baker Tilly as auditor.
