Cairo - Mubasher: Egyptian Financial Group Hermes Holding’s (EFG Hermes) Investment Banking division successfully concluded advisory on the seventh issuance for Premium International for Credit Services (Premium) in a securitised bond offering worth EGP 200.60 million.
This marks Premium’s second issuance this year and is part of a wider two-year EGP 2 billion securitisation programme, according to a press release.
The bond is backed by a receivables portfolio assigned to EFG Hermes Holding’s Financial Group for Securitization, the issuance’s Special Purpose Vehicle (SPV).
The bond is comprised of two tranches; tranche A is valued at EGP 150.45 million, with a tenor of 10 months, and tranche B is valued at EGP 50.15 million, with a three-year tenor.
This marks the first offering of a medium-term securitisation issuance with a tenor of three years, a direct reflection of Premium’s latest push to offer its clients innovative solutions with medium-term payment schedules.
Maie Hamdy, Managing Director - Debt Capital Markets at EFG Hermes, commented: “The Egyptian securitised bond space continues to grow rapidly, with issuances in the market witnessing a substantial increase this year compared to 2021. Appetite for high-yield investments continues to rise, and we capitalise on this demand by charging the market with versatile debt products that generate superior investment returns and help Egyptian businesses enhance their liquidity and deliver on their growth plans.”
