Raya Holding’s fintech arm Aman Consumer Finance has issued EGP 1.04 bn worth of securitized bonds, according to a statement (pdf) from CI Capital, the sole financial advisor on the transaction. The issuance was backed by an EGP 1.2 bn portfolio of consumer finance contracts issued by Aman for Consumer Finance, Aman said in a separate release (pdf)

The details: The issuance came in four tranches with tenors of 6, 9, 13, 24 months and ratings of Prime 1 and A from Middle East Rating Services (MERIS).

No. 4: The issuance is part of a wider EGP 5 bn, three-year securitization program that kicked off in February 2023. The company last tapped the securitization market with an EGP 1.1bn issuance in December 2023.

Two birds, one stone: The portfolio used to back the fourth issuance overlaps with that used to back the third issuance of the program — a first for the Egyptian market. This only happened after the Financial Regulatory Authority greenlit the move.

What’s next? Aman plans to take to market the fifth issuance of the program in the third quarter of the year, Aman for Financial Services CEO Hazem Moghazi said.

Advisors: CI Capital was the sole financial advisor, arranger, and issuance manager. The National Bank of Egypt was custodian and underwriter alongside the Arab African International Bank. Zaki Hashem provided counsel and United for Accounting, Auditing, and Tax Consulting was auditor.

DATA POINT: The issuance brings the total value of securitized bonds issued in Egypt in 2024 so far to around EGP 14.9 bn, according to data tracked by Enterprise.

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