Fawry MSME Finance completes first securitized bond issuance worth EGP 497.5mln
Cairo, Egypt: Fawry, (the "Company", FWRY.CA on the Egyptian Exchange), Egypt's leading Fintech, has announced that its fully owned subsidiary Fawry MSME Finance, a leading provider of financial solutions to Egypt's micro, small, and medium-sized enterprises, is pleased to announce the successful completion of its first securitization issuance, amounting to a total value of EGP 497.5 million. This transaction marks the initial tranche under a broader securitization program, paving the way for future issuances as part of a larger funding agreement.
The issuance marks a significant milestone for Fawry MSME Finance as it diversifies its funding sources to support the growing demand for credit among Egypt's MSME sector. The transaction is backed by a securitized portfolio of receivables originated by the company and reflects the strong quality of its credit portfolio and robust underwriting standards.
CI Capital served as the financial advisor, arranger, issuance manager, and bookrunner for the transaction, bringing deep market expertise and strategic guidance throughout the process.
The bond issuance, approved by the Financial Regulatory Authority (FRA) and rated A- (investment grade) by Middle East Ratings and Investor Services (MERIS), was structured as a single tranche totaling EGP 497.5 million with a tenor of 13 months.
Alexander Levchenko, Chief Executive Officer of Fawry MSME Finance, commented: 'This securitization is a strategic step in our mission to scale our lending operations and provide greater access to finance for MSMEs across Egypt. The strong investor appetite reflects confidence in our model, our portfolio performance, and the strength of Egypt's MSME sector.'
Amr Helal, CEO of the Investment Bank (Sell-Side) at CI Capital: 'I would like to express my pleasure for the successful completion of the first securitized bond issuance for Fawry MSME Finance. The success of this issuance reflects CI Capital's ongoing efforts to reinforce its leadership position in financial services, as well as its ability to develop capital ecosystem by bringing new clients to the debt markets. I would also like to thank CI Capital's Debt Capital Markets team for their huge efforts and all parties involved in the success of the issuance.'
Eng. Ashraf Sabry, Chief Executive Officer of Fawry, commented:"Achieving an A- rating from MERIS in our first issuance is a testament to the credibility of our underwriting practices and the strength of our portfolio. It also signals growing market confidence in the MSME lending space. We are also very proud to have partnered with CI Capital on this landmark transaction. Their deep market knowledge and execution capabilities played a crucial role in the successful closure of this deal."
About Fawry for Banking Technology and Electronic Payments
Founded in 2008, Fawry Egypt's leading fintech company serving the banked and unbanked population. Fawry's primary services include enabling electronic bill payments, mobile top-ups and provisions for millions of Egyptian users. Other digital services also include e-ticketing, cable TV, and variety of other services. Through its peer-to-peer model, Fawry is enabling corporates and SMEs to accept electronic payments through a number of platforms including websites, mobile phones, and POSs. With a network of 36 member banks, its mobile platform and 396 thousand agents, Fawry processes more than 6 million transactions per day, serving an estimated customer base of 53.8 million users monthly. Learn more at www.fawry.com
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