Palm Hills Developments (PHD) has closed an EGP 638 mn securitized bond issuance, according to a joint statement (pdf) from Palm Hills and EFG Hermes, the sole financial advisor on the sale.

About the issuance: The issuance’s three tranches have tenors of 13, 36, and 84 months and ratings ranging from AA+ to A from the Middle East Rating & Investors Service (MERIS). The issuance brings PHD’s securitized gross receivables to a total of EGP 7.2 bn since its securitization program began in 2016, co-CEO and Managing Director Tarek Tantawy said in the statement.

Who bought in? Aside from the underwriters for the transaction, the statement named Al Baraka Bank as a subscriber.

Advisors: Our friends at EFG Hermes ran the show, acting as sole financial advisor, lead arranger, bookrunner, and underwriter on the issuance. National Bank of Egypt and Banque du Caire acted as underwriting banks, with BdC also acting as the subscription bank. Banque Misr acted as transaction custodian. Our friends at ALC Alieldean Weshahi & Partners acted as legal advisors while KPMG acted as the auditor.

More than EGP 6.8 bn worth of bonds have been sold so far in 2023, down from EGP 7.2 bn in the same period last year, according to data tracked by Enterprise. Among other firms planning issuances for this quarter are EFG Hermes’ ValU and Contact Financial Holding. Companies raised EGP 45.4 bn from securitized bond issuances in 2022, almost three times the EGP 15.8 bn sold the year prior.