– Valu, a prominent financial technology firm in the MENA region, has completed its eighth securitized bond offering, totaling EGP 888 million.

– The bond issuance, part of a larger program valued at EGP 9.0 billion, is backed by a receivables portfolio assigned to EFG for Securitization, the special purpose vehicle (SPV) overseeing the transaction.

– The offering comprises two tranches with different bond tenors and ratings, reflecting Valu’s strategic commitment to innovation and sustainable growth in delivering diverse financial services to its clientele.

Valu, a financial technology powerhouse in the MENA region, has concluded its eighth securitized bond offering, totaling EGP 888 million (USD 19 million). This issuance is part of the approved extended program valued at EGP 9.0 billion, the company said.

Backed by a receivables portfolio assigned to EFG for Securitization, the special purpose vehicle (SPV) managing the issuance, the bond consists of two tranches:  Tranche A: Valued at EGP 639.4 million, featuring a 6-month bond tenor, a Prime 1 (sf) rating, and a fixed interest rate.  Tranche B: Valued at EGP 248.6 million, with a 12-month bond tenor, a Prime 2 (sf) rating, and a fixed interest rate.

Shokry Bidair, Valu’s CFO, expressed enthusiasm for this significant milestone, highlighting its strategic importance in facilitating sustainable growth and broadening the scope of financial services for clients. He emphasized the company’s commitment to leveraging innovative financing solutions to meet evolving customer needs.

Bidair further elaborated on Valu’s comprehensive financial services portfolio, including recent initiatives such as the Sha2labaz instant cash redemption program, Akeed savings solution, and Ulter luxury financing program. Additionally, Valu has introduced co-branded credit and prepaid cards in collaboration with Visa, enhancing financial flexibility and convenience for customers.

Maie Hamdy, Managing Director of Debt Capital Markets at EFG Hermes, praised the transaction as a testament to Valu’s ongoing success and the strong collaboration between EFG Hermes teams.

She underscored EFG Hermes’ commitment to supporting Valu’s growth trajectory and expressed optimism for future opportunities.

EFG Hermes served as the sole financial advisor and transaction manager, with Arab African International Bank (AAIB) and EFG Hermes acting as underwriters. AAIB also served as the custodian bank, while Arab Banking Cooperation (ABC) and Al Ahli Bank of Kuwait (ABK) were among the subscribers. Dreny & Partners provided legal advisory services, and Baker Tilly served as the transaction auditor.