Egyptian Mortgage Refinance Company (EMRC) has issued EGP 472 mn in securitized bonds, Dreny & Partners, the legal counsel on the transaction, said in a press release (pdf) on Thursday. The three-tranche issuance was rated between AA+, AA and A by the Middle East Ratings and Investors Service (MERIS). The issuance is the first in a planned three-year, EGP 3 bn program.

First of its kind: The transaction marked the first securitization issuance for EMRC, which is the country’s sole provider of refinancing to mortgage lenders, according to the release. EMRC has been eyeing a securitized bond sale as far back as 2020.

Who subscribed? EFG Hermes, the National Bank of Egypt, and the Arab African International Bank were joint underwriters.

Advisors: EFG Hermes and Al Ahly Pharos acted as joint financial advisors on the transaction. AAIB was bookrunner and custodian, KPMG was the auditor, and Dreny & Partners acted as legal counsel.

DATA POINT- This brings the total value of securitized bonds issued in Egypt so far this year to nearly EGP 50.8 bn — almost 12% more than total volumes across the whole of 2022, according to data tracked by Enterprise.

Tags: