Talaat Moustafa to issue EGP 500 mn securitization: Talaat Moustafa Group (TMG) is planning to raise EGP 500 mn by securitizing future cashflows, Al Mal reports, citing sources it says are in the know. The bonds will be backed by future income generated by subscriptions to its sports clubs in Madinaty and Al Rehab. Enterprise was unable to reach representatives of TMG for comment on the report.

Future flow securitization: Future flow securitization differs from traditional securitization in that it allows the securitization of payments that aren’t yet on the company’s balance sheet, giving companies access to liquidity without needing a big portfolio of accounts receivables. Future income is packaged into securities and offered to investors to raise capital, giving companies a new way to access liquidity.

A first-of-its-kind: TMG will be the first company to use income from sports memberships as collateral for a securitized bond issuance, and would be only the second to issue future flow securities after CIRA debuted them in the local market last year.

Advisors: EFG Hermes will provide financial advice on the issuance, according to the news outlet.

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