EFG Hermes concludes advisory on third issuance for valU in a securitized bond offering worth EGP 854.5mln

EFG Hermes concludes advisory on third issuance for valU in a securitized bond offering worth EGP 854.5mln

Cairo: EFG Hermes, the leading investment bank franchise in Frontier and Emerging Markets (FEM), announced today that its the investment banking division successfully closed valU’s — the MENA region’s leading Buy-Now, Pay-Later (BNPL) lifestyle-enabling fintech platform — third securitized bond issuance worth EGP 854.5 million, which comes as part of a wider EGP 2.0 billion program that was approved by the FRA in July 2021.

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). It is comprised of a single tranche, with a Prime 1 (sf[1]) rating and a tenor of 12 months.

Commenting on the issuance, Maie Hamdy, Managing Director - Debt Capital Markets at EFG Hermes said, “We are pleased to be part of yet another successful issuance for valU and to support the leading BNPL fintech player in expanding its operations and broadening its capacities in the ever-growing Egyptian fintech ecosystem. The significant traction garnered from all three issuances, which initially hit the market as the first-of-their-kind for a BNPL fintech platform, underlines the trust we have built in the market and our unwavering commitment to provide our partners and clients with value-generating and diverse