Al Ahly Capital Holding’s microfinance arm has raised EGP 707 mn in a securitized bond issuance,the transaction’s financial advisor Al Ahly Pharos said in a statement (pdf) yesterday. Al Ahly Pharos Investment Banking, the investment banking arm of the National Bank of Egypt’s Al Ahly Capital Holding, said that the bond was backed by a EGP 787 mn portfolio from Al Ahly Tamkeen Microfinance and issued by Al Ahly Securitization Company.

The details: The bond was split into three tranches rated P1, P1, and A by the Middle East Rating Services (MERIS).

Regional and local banks got involved: The issuance was fully subscribed, with the National Bank of Egypt, AAIB, Attijariwafa Bank Egypt, Bank ABC, and Al Ahly Pharos each buying a piece.

Advisors: Al Ahly Pharos acted as the financial advisor and as one the transaction’s underwriters alongside AAIB and the National Bank of Egypt. AAIB also acted as the custodian and the placement agent, while Dreny & Partners was the legal advisor and KPMG acted as the auditor of the transaction.

DATA POINT- Egyptian companies have issued more than EGP 55.2 bn of securitized bonds so far this year, according to data tracked by Enterprise — almost 22% more than what was taken to market across the whole of 2022 and more than three times the volumes in 2021. Al Ahly Pharos is claiming a market share of north of 44% this year, saying it has taken to market nine transactions worth EGP 24.4 bn so far this year.

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