Latest news with #ValU
Al-Ahram Weekly
17-07-2025
- Business
- Al-Ahram Weekly
Parting ways with traditional investment - Economy - Al-Ahram Weekly
The growing interest in the two recent listings on the Egyptian Stock Exchange highlights a shift in investor perceptions of what constitutes a sound investment For decades, Egyptians have viewed investment opportunities through the narrow lens of real estate, gold, and more recently certificates of deposit. However, the recent listings of ValU and Bonyan on the Egyptian Stock Exchange (EGX) have stirred a buzz among market observers and investors due to the companies' unconventional and highly profitable business models and different fields of work — consumer financing and income-generating real estate. ValU, established in 2017, is a leader in financial technology (fintech), a field that is rapidly growing in Egypt and offering a wide array of services. The buy-now-and-pay-later service, one of the most widely used service offered by fintechs, has become the go-to solution for Egyptians who can't afford to buy expensive commodities, let alone even essential products, in cash. ValU has a share of 27 per cent in the consumer financing market, with a competitive advantage in the car loans segment in particular. The company extends more than LE350 million in auto loans monthly. As for Bonyan, 'We buy properties that are either fully constructed or nearing completion. Then, we lease them to international and Egyptian companies. So, in essence, what we do is similar to how individuals invest in real estate, but we do it institutionally, while focusing on leasing commercial and office spaces,' Shamel Aboul Fadl, Bonyan's CEO, said in a recent interview with Arab Finance. 'Our activity is completely different from that of typical real estate developers operating in the market. We do not build or develop properties, we acquire finished, ready-to-use properties for leasing purposes,' he added. Market observers view this line of business as a lifeline for real estate developers. By selling their units directly to businesses like Bonyan, developers can recover the needed capital and shift their focus to building new units, rather than having to wait for the properties to be sold through long-term instalment schemes. Meanwhile, the buyers of Bonyan shares gain easy access to diversified, professionally managed real estate, without owning property. Amr Hassan Al-Alfi, an equity analyst at Thndr, a trading platform and mobile app focused on investment, wrote in a report on Bonyan: 'For the first time, investors can buy in a business that owns income-generating commercial and administrative real estate like Walk of Cairo and gives you exposure to stable rental income, all through the stock market.' Bonyan is offering 21 per cent of its shares through initial public offering and private placement, selling stake to targeted institutional investors. In this case, investment banks collect orders from investors before the listing. On launching day, shares are priced and sold, before the stock starts trading publicly. ValU's offering took place differently. EFG Holding, the parent company of ValU and one of the region's leading investment banks, opted to distribute a portion of its profits through an in-kind dividend, offering a partial stake in ValU instead of cash. The company allocated approximately 20.5 per cent of ValU's shares to EFG's shareholders, with the transaction valued at around LE3.2 billion. As a result, each EFG shareholder now owns a stake in ValU. The shares are officially listed on the stock exchange, though they are not necessarily actively traded. This is known as 'technical listing', whereby shares are listed on the exchange but only sold at a later stage, contingent upon future demand. On its first day of trading among EFG shareholders, the value of ValU shares surged by 852.4 per cent from their opening price of LE0.78. Bonyan's private placement was 6.88x oversubscribed and until Monday the retail offering was 5x oversubscribed. The subscription closing day was scheduled for 16 July. Building on their sound performance, the two companies have plans for expansion. ValU is preparing to launch its services in the Jordanian market. Bonyan's Aboul Fadl said that in addition to the company's focus on the office real estate market, it is exploring investments in the warehousing and logistics sector, particularly facilities leased to multinational corporations and major Egyptian companies. The company's investment portfolio hovers around LE17 billion as of March. According to Thndr, Bonyan owns 10 premium commercial properties in East and West Cairo with 93 per cent occupancy. The 119 tenants of the company's units include major brands such as Nestlé, Turkish Airlines, Grohe, GE, Johnson & Johnson, and Vodafone. Moreover, 56 per cent of the properties are leased in US dollars, providing a built-in hedge against inflation. As for Valu, beyond its lending and payment services, its financial solutions portfolio includes a cash redemption programme, savings plans, and a financing option designed to facilitate the purchase of big-ticket items worth up to LE15 million. 'We want people to use their ValU cards to top up their mobile phone credit, and we're also seeing them use our app to buy yachts,' Walid Hassouna, CEO of ValU, told Enterprise Online news service. The number of clients within Egypt's consumer finance segment grew nearly 16-fold between 2020 and 2024, rising from over 250,000 to more than four million. Currently, there are 45 companies licensed to provide consumer finance services in Egypt, according to Thndr. Valu and Bonyan's listings have injected much-needed vitality into the market, which has seen little to no initial public offering activity in recent months — the most recent being the public offering of United Bank in November. The growing appetite for such offerings is expected to encourage the government to advance its stalled privatisation programme. Prime Minister Mustafa Madbouli recently stated that the government intends to privatise a number of public companies via the stock exchange, with targeted proceeds ranging between $5 and $6 billion. The slow pace of the privatisation programme is the primary reason behind the IMF's decision to postpone the disbursement of the fifth tranche of its $8 billion loan, according to Madbouli. * A version of this article appears in print in the 17 July, 2025 edition of Al-Ahram Weekly Follow us on: Facebook Instagram Whatsapp Short link:
CairoScene
04-03-2025
- Business
- CairoScene
Dream Space: A Selection of Designer-Curated Spaces at Your Fingertips
Dream Space: A Selection of Designer-Curated Spaces at Your Fingertips Furnishing a home should feel exciting, not overwhelming. But too often, it turns into a never-ending search - browsing countless stores, struggling to match pieces, and second-guessing every choice. What if there was a way to skip the stress and step straight into a beautifully designed space that's already put together for you? Shouldn't great design always be within reach? ValU is introducing its lowest interest rate ever for Dream Spaces. A built-in financial calculator helps break it all down, making it easier than ever to plan your payments, stick to your budget, and bring your dream space to life - without the financial guesswork. 'With this platform, we're offering homeowners and designers the ability to access curated, premium-quality interiors without the hassle of sourcing individual pieces,' Karim El Hayawan, Co-founder and Head of Strategy at The Mob Collective, tells SceneHome. 'Every design package is carefully curated by our team, ensuring not only aesthetic harmony but also functionality and comfort.' For Dream Space, ValU is offering its lowest interest rate ever - making designer-curated interiors more accessible than ever before. Now, transforming your space doesn't have to come with financial stress. Whether you're styling a cozy living room in the city or creating a serene, sun-soaked bedroom in Sahel, Dream Space brings a diverse range of thoughtfully designed interiors, all ready to explore and make your own. 'One of the primary obstacles to achieving the ideal design aesthetic is spending a substantial amount of cash up front. Valu enables you to distribute the cost of your purchase over up to 60 months, making premium quality furniture selections and purchases more accessible,' Motaz Lotfy, Senior Director of Business Development and Partnerships at Valu, says. 'This collaboration with Valu and The Mob Collective allows us to extend our services beyond the exhibition space and into the e-commerce market, offering customers a seamless online experience to access premium home solutions year-round,' Ahmed Tarek, Co-CEO and Partner of Tarek Nour Group, the organizers of Le Marché, adds. At its core, Dream Spaces is built on a simple belief: that well-designed interiors shouldn't be exclusive. Just like Le Marché gathers the best in furniture under one roof, Dream Spaces takes it a step further, offering a seamless way to furnish your home without the endless back-and-forth. No more decision fatigue, no more compromises - just beautifully crafted spaces, ready when you are. Photography Credit: Dream Space
CairoScene
20-02-2025
- Business
- CairoScene
Cairo-Based Fintech Trevi Launches App to Simplify Finances
Cairo-Based Fintech Trevi Launches App to Simplify Finances Trevi plans to expand beyond Egypt to bring these services to new markets across the EMEA region. Cairo-based fintech startup Trevi has launched a mobile app that offers seamless payment options with several top-up methods. Amongst the key features included on the app are smooth payment processing, rewards, cashback programs, family wallet and personalised insights based on users' spending habits. Users can easily top up their wallets using debit or credit cards, as well as Apple Pay and ValU, and can make payments by simply scanning a QR code, with NFC payment options coming soon. Along with cashback and loyalty benefits, users can expect to earn rewards with every purchase at a variety of partner merchants like Baky Hospitality, covering sectors such as fine dining, jewellery, fashion, electronics and grocery stores. Users can also expect immediate benefits on every transaction, with extended cashback validity for up to three years with no cap The 'Family Wallet' feature centralises household financial management, allowing users to set limits, monitor spending, and distribute cashback benefits, creating a practical and rewarding solution for shared finances. The travel feature includes streamlined bookings for flights, hotels and accommodations. Users will be able to enjoy a cashback on their net purchase amount. Under CEO Antony Sobhy's leadership, Trevi plans to expand beyond Egypt to bring these services to new markets, including Jordan, Saudi Arabia, UAE, Lebanon, Morocco, Libya, Iraq, and other countries in the EMEA region over the next five years. 'Trevi is dedicated to transforming the way consumers handle their finances by offering a wide array of competitive services. Our goal is to provide users with exceptional experience while ensuring the utmost security for their financial transactions and management,' Sobhy tells StartupScene. Trevi plans to introduce more features in the future, including a budgeting feature that will allow users to input their income level and set goals for them to save more. Their upcoming 'Trevi Lifestyle' service will offer exclusive access to events, concierge support, and tailored activities to simplify and enrich daily life. Their planned 'Trevi Spaces' service will help manage shared expenses. 'Save Now Pay Later', meanwhile, will enable users to avoid price surges, and access tailored lending and leasing options. Trevi also pledges to donate 1% of its revenue to charitable organisations. For further details, you can visit Trevi's website or join the community by downloading the app.
