EFG Hermes, an EFG Holding company and a leading investment bank in the MENA region, announced the successful conclusion of advisory services on a securitized bond issuance for Bedaya Mortgage Finance, with a total value of EGP 1.91 billion.
This transaction marks Bedaya’s eighth securitization issuance since inception and the sixth under its Capital securitization program, reinforcing the company’s continued reliance on structured debt instruments to support expansion and enhance liquidity.
Transaction Structure
The issuance is backed by a receivables portfolio transferred to Capital for Securitization, which acted as the special purpose vehicle (SPV). The bond was structured into four tranches with variable interest rates:
- Tranche A: EGP 238.38 million, 13-month tenor, rated AA
- Tranche B: EGP 648.38 million, 36-month tenor, rated A
- Tranche C: EGP 715.13 million, 60-month tenor, rated A-
- Tranche D: EGP 305.12 million, 81-month tenor, rated A-
Strong Investor Confidence
Maie Hamdy, Managing Director of Debt Capital Markets at EFG Hermes, highlighted that the transaction reflects sustained investor confidence in Bedaya’s portfolio, noting that the firm continues to deliver innovative financing solutions that support client growth and the development of Egypt’s mortgage finance sector.
Tarek Abou-Gendia, CEO and Managing Director of Bedaya Mortgage Finance, described the issuance as a key milestone, emphasizing that it strengthens the company’s ability to diversify funding sources and expand access to mortgage finance solutions across Egypt.
Key Participants
EFG Hermes acted as sole financial advisor, transaction manager, book-runner, underwriter, and arranger.
The issuance was underwritten by:
National Bank of Egypt,
Banque du Caire,
Commercial International Bank,
SAIB,
Ahli Bank of Kuwait.
United Bank participated as a subscriber, while Banque du Caire acted as placement agent. Abu Dhabi Commercial Bank served as custodian.
Legal advisory was provided by Dreny & Partners, and auditing services were conducted by Baker Tilly.
Market Impact
The transaction underscores the growing depth of Egypt’s debt capital markets and highlights securitization as a key funding tool for non-bank financial institutions seeking scalable growth and enhanced financial flexibility.
