EFG Hermes, the leading investment bank franchise in Frontier and Emerging Markets (FEM), announced today that its investment banking division has successfully concluded advisory on the eighth issuance for Premium International for Credit Services (Premium) in a securitized bond offering worth EGP 193.65 million. This is Premium’s first issuance this year, and comes as part of a wider two-year EGP 2.0 billion securitization program.

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 – valued at EGP 94.89 million, with a tenor of 10 months, and a Prime 1 rating (sf) from Middle East Ratings and Investor Services (MERIS)

Tranche B – valued at EGP 98.76 million, with a tenor of 36 months, and a credit rating of A from MERIS

This marks the second offering of a securitization issuance with a tenor of three years for Premium, underscoring the company’s efforts to offer clients the opportunity to leverage innovative solutions offering medium-term payment schedules.

Maie Hamdy, Managing Director – Debt Capital Markets at EFG Hermes, commented: “It gives us great pleasure to once again be closing a securitization issuance for Premium today, and to be building on the immense success of the company’s previous seven issuances, which garnered strong interest from prominent local and global investors alike. The exceptional placement and execution capabilities of our team enable us to continue expanding our presence and strengthening our position in the Egyptian debt capital market landscape, unlocking strategic and lucrative opportunities for investors, while providing alternative funding solutions that help our clients carry out their ambitious growth plans.”

Premium’s eighth issuance comes on the heels of the Firm’s successful closing of back-to-back heavyweight deals in the debt capital market space, including the EGP 638 million securitization issuance for Palm Hills Development (PHD), the second, 805.5 million issuance for Madinet Nasr for Housing and Development (MNHD), and Al Taamir Mortgage Finance – Al Oula’s first securitization issuance worth EGP 998.5 million. The division also concluded advisory on the second, EGP 986 million issuance for Misr Italia Properties, and the first future flow securitized bond offering worth EGP 800 million for CIRA Education.

EFG Hermes acted as sole financial advisor, sole transaction manager and bookrunner, underwriter, and arranger on the issuance, with Arab African International Bank acting as mandate lead arranger, as well as underwriter alongside Banque Misr. Banque Misr also acted as the underwriter and the custodian bank, in addition to, aiBANK was one of the subscribing banks to the issuance. KPMG was the auditor and Dreny and Partners acted as the legal advisor