Cairo – Mubasher: Ghabbour Auto (GB Auto) said that its subsidiary Drive Finance concluded its second securitised bond offering at a value of EGP 892 million.
“Proceeds from the transaction will be used to deleverage Drive’s balance sheet and unlock further opportunities for growth,” GB Auto said in a bourse disclosure on Thursday.
The offering includes three tranches of callable bonds with maturities of 13, 36, and 48 months, and they are rated at AA+, AA, and A, respectively, by Middle East Rating & Investors Service (MERIS).
The 13-month bond is valued at EGP 414.8 million and carries a fixed coupon rate of 10.25% payable monthly, while the 36-month bond is worth EGP 407.6 million with a fixed coupon rate of 10.65% payable monthly.
The 48-month bond, valued at EGP 69.9 million, has a fixed coupon rate of 11.05% payable monthly.
During the first nine months of 2020, GB Auto achieved net profits of EGP 794.77 million, up from EGP 174.07 million in the same period in 2019, including minority shareholders’ rights.
