Valu closed its 16th securitized bond issuance, with a total value of EGP 858.9 mn, according to astatement (pdf). The issuance is the sixth under Valu’s EGP 16 bn securitization program, and comes backed by a receivables portfolio. The bond, which carries the highest short-term credit rating and a fixed interest rate, matures in 12 months.

Who bought in? Bank ABC and Industrial Development Bank subscribed to the issuance.

What they said: “By leveraging securitizations, we are diversifying our funding base and driving strategic growth. This latest issuance underscores our commitment to fostering innovation and maintaining our position as the preferred fintech partner in Egypt,” said Karim Riad, CFO of Valu.

ADVISORS- EFG Hermes acted as sole financial advisor, transaction manager, bookrunner, underwriter, and arranger. The Arab African International Bank was both underwriter and custodian. Dreny & Partners served as legal advisor, and Baker Tilly as auditor.

Next up: A brand-new EGP 10 bn securitization program. Valu is in the process of securing regulatory approval from the Financial Regulatory Authority for a new EGP 10 bn short-term multi-issuance securitization program, to be executed through over up to nine issuances and backed by portfolios worth EGP 13 bn over a two-year period.

REMEMBER- U Consumer Finance — which owns and operates the Valu brand — begantrading on theEGX last week. In its first day of trading, shares in the company increased 852.4% from its opening price of EGP 0.78 to end the day at EGP 7.40 — maxing out the price ceiling given to the homegrown fintech. Valu’s share closed at EGP 8.88 yesterday.

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