Latest News from El Fagr
El Fagr
a day ago
- Business
- El Fagr
Valu Announces Intention to List on the Egyptian Exchange
U Consumer Finance S.A.E. ('Valu')، the leading universal financial technology powerhouse in Egypt، announced today its intention to proceed with the trading of its shares on the Egyptian Exchange (the 'EGX')، following the completion of an in-kind dividend distribution* by EFG Holding S.A.E. ('EFG Holding') (the 'Dividend Distribution'). Valu was listed on the EGX on 21 May 2025 (the 'Listing،' and together with the Dividend Distribution، the 'Transaction'). Valu's shares will be admitted to trading on the EGX following registration with the Egyptian Financial Regulatory Authority (the 'FRA')، the completion of the Dividend Distribution and the ratification of the trading disclosure report by the FRA**. The Dividend Distribution was approved by the Ordinary General Assembly meeting of the shareholders of EFG Holding on 24 May 2025 (the 'OGM'). The OGM approved the utilization of EGP 335،322،346 out of the distributable retained earnings of EFG Holding، which figure is based on the financial statements of EFG Holding for the financial year ending on 31 December 2024، for the purposes of an in-kind dividend distribution (in lieu of a cash dividend distribution) to the shareholders of EFG Holding، in the form of shares in the share capital of Valu، which shares represent 20.488% of the share capital of Valu. The Dividend Distribution is based on Valu's book value according to the consolidated financial statements for the financial year ending on 31 December 2024. The ratio of the number of Valu shares that will be allocated to the shareholders of EFG Holding is 1 Valu share per 3.3273 EFG Holding shares (with fractional shares allocated to minority shareholders). As announced earlier today، EFG Holding has determined that the record date is set on 12 June 2025، for the owners of shares of EFG Holding and the purchasers of shares of EFG Holding، as of the end of the trading session held on the Thursday 12 June 2025، which accordingly will become direct shareholders in Valu، after completing the necessary procedures. The commencement of trading on the Valu shares on the EGX is expected to take place during the week commencing on 22 June 2025، subject to receipt of the relevant regulatory approvals. Valu and EFG Holding engaged EFG Hermes Promoting and Underwriting S.A.E. to act as sole financial advisor in connection with the Transaction، and Zulficar & Partners to act as legal counsel. EFG Holding also engaged Gibson، Dunn & Crutcher LLP to act as legal counsel to EFG Holding in connection with the international aspects of the Transaction. Commenting on the Listing، Walid Hassouna، Valu's Chief Executive Officer، said: "This listing marks a significant milestone in Valu's journey، and is a testament to the disruptive and positive impact we have made in the market as one of the leading fintech players in the MENA region and Egypt's leading fintech platform. With the full backing of our parent EFG Holding، we're unlocking new value for our customers and shareholders، and accelerating our mission to democratize access to finance in the region.' *An in-kind dividend is a non-cash payout of assets to shareholders، often used for distributing securities، property، or other assets instead of cash. **Please note that the trading disclosure report has not been ratified by the FRA yet.
El Fagr
2 days ago
- Business
- El Fagr
EFG Hermes Concludes Advisory on EFG Corp-Solutions' EGP 2.65 Billion Issuance، Egypt's Largest-Ever Corporate Bond Issuance
EFG Hermes، an EFG Holding company and the leading investment bank in the Middle East and North Africa (MENA)، announced today the successful conclusion of Egypt's largest corporate bond issuance to date، a bond issuance valued at EGP 2.65 billion for EFG Corp-Solutions، a subsidiary of EFG Finance and one of Egypt's leading leasing and factoring companies. This transaction marks as the fourth bond issuance for EFG Corp-Solutions. The bond was issued with a credit rating of A- by Middle East Ratings and Investor Services (MERIS)، with a 13-month tenor. Maged El Ayouti، Co-Head of Investment Banking at EFG Hermes ، commented on the issuance، saying، 'We are proud to have successfully advised on Egypt's largest-ever corporate bond issuance. This milestone reflects our commitment to delivering innovative financial solutions and supporting the growth of our clients. By leveraging our extensive network and expertise، we were able to fully cover the issuance through a diverse base of non-bank institutional investors—an achievement that reflects strong market confidence and the strength of the offering، with the issuance being completely covered from non-bank institutional investors. This broad appeal underscores the robust market position of EFG Corp-Solutions and highlights the synergies within EFG Holding.' Talal El Ayat، CEO of EFG Corp-Solutions ، shares his enthusiasm، saying، 'This issuance marks a significant achievement for EFG Corp-Solutions and underscores our position as a leader in the leasing and factoring industry. The success of this bond issuance is a testament to the market's trust in our business model and our potential for sustained growth. We are excited about the opportunities this bond will create for our company and our stakeholders، and we look forward to leveraging this momentum to further expand our footprint and deliver exceptional value.' This transaction comes as the latest in a series of debt issuances advised by EFG Hermes in the region. Most recently، EFG Hermes advised on Bedaya's sixth securitization issuance worth EGP 1.64 billion. It also advised Valu on its 14th securitized bond issuance، worth EGP 463.3 million، as well as the fifth securitization for Bedaya، valued at EGP 1.78 billion. The firm also concluded advisory on Sylndr's EGP 300 million working capital facility، in addition to a short-term note valued at EGP 433 million for EFG Corp-Solutions. EFG Hermes acted as the sole financial advisor، transaction manager، book-runner، underwriter، and arranger for the issuance. Commercial International Bank (CIB) acted as the placement and subscription bank. Legal advisory services were provided by Dreny & Partners، while KPMG was appointed as the auditor for the issuance.
El Fagr
3 days ago
- Business
- El Fagr
Education Above All Foundation and Tanmeyah Partner to Combat Youth Unemployment in Egypt
Education Above All Foundation and Tanmeyah Partner to Combat Youth Unemployment in Egypt New programme to support 305،000 youth in establishing and expanding small enterprises across key economic sectors. Education Above All Foundation's Silatech programme، in collaboration with Tanmeyah، a subsidiary of EFG Holding، and a leading provider of innovative and integrated financial solutions for small business owners and entrepreneurs، partnered to launch the Youth Self-Employment Initiative to tackle Egypt's youth unemployment crisis. The 3.5-year initiative will economically empower 305،000 young Egyptians by providing access to financing، financial literacy training، and business development support to establish and expand micro and small enterprises across key economic sectors. Egypt's labour market faces significant challenges، with youth unemployment rates remaining high despite government efforts to create 800،000 new jobs annually. Recognising the crucial role of the said enterprises in fostering economic growth، comprising 98% of private businesses، the Youth Self-Employment Initiative aims to bridge the existing financial gap by enhancing financial access and business sustainability for young entrepreneurs. A key component of the initiative is the introduction of a 'Partial Loss Credit Guarantee Facility'، designed to reduce lending risks and expand financing opportunities to underbanked young entrepreneurs. As a result، the number of active youth beneficiaries is projected to grow to 305،000 by the project's completion. To promote sustainability، a specialised green financing product will support businesses in agriculture and renewable energy sectors. Additionally، mobile branches will extend financial services to rural and remote areas، fostering greater financial inclusion. The initiative will also provide financial literacy training through personalised education sessions and digital outreach، equipping youth with essential financial management skills to improve business sustainability and success rates. Hassan Al Mulla، Executive Director of the Silatech programme at Education Above All Foundation emphasized the initiative's transformative potential، saying، 'At Silatech programme، we believe that empowering youth is the cornerstone of prosperous societies. Through this initiative in Egypt، we aim to foster an enabling economic environment that equips young people to overcome challenges and realize their ambitions by improving access to finance and entrepreneurial training. Our vision is to support a new generation of Egyptian entrepreneurs capable of driving economic growth and advancing sustainable development across their nation.' Jinu Johnson، CEO and Managing Director of Tanmeyah، commented، 'At Tanmeyah، we are committed to driving economic growth and fostering entrepreneurship among Egypt's youth. This initiative is a testament to our dedication to providing essential financial services and support to young entrepreneurs، enabling them to build sustainable businesses and contribute to the nation's economic development. By leveraging our expertise and resources، we aim to create lasting impact and empower the next generation of leaders.' Aligned with Egypt's Vision 2030، the Youth Self-Employment Initiative supports national efforts to reduce youth unemployment and promote economic diversification. By integrating green finance solutions، the initiative also contributes to Egypt's climate action goals by encouraging environmentally responsible business practices. Through this strategic partnership، the EAA Foundation's Silatech programme and Tanmeyah reaffirmed their commitment to creating long-term economic opportunities for Egypt's youth، empowering them with the skills and financial tools necessary to build sustainable livelihoods and drive the nation's economic growth.
El Fagr
3 days ago
- Business
- El Fagr
EFG Hermes Concludes Advisory on Hermes Securities Brokerage Company's (HSB) Sixth، EGP 900 Million Senior Unsecured Short-Term Note Issuance
EFG Hermes Concludes Advisory on Hermes Securities Brokerage Company's (HSB) Sixth، EGP 900 Million Senior Unsecured Short-Term Note Issuance This issuance comes as the first successful closure in a wider EGP 3 billion program. Cairo، May 25، 2025 EFG Hermes، an EFG Holding company and the leading investment bank in the Middle East and North Africa (MENA)، announced today that its investment banking division has successfully closed the issuance of a senior unsecured short-term note for the Hermes Securities Brokerage Company (HSB)، a wholly owned subsidiary of EFG Holding، in an EGP 900 million transaction. This marks the company's sixth issuance and the first in an approved program worth EGP 3 billion. The national scale long-term senior unsecured entity rating of "BBB+" with a Positive Outlook and the short-term senior unsecured issuer rating of "P2" to HSB have been affirmed by the Middle East Ratings and Investor Services (MERIS). The bond has a 12-month tenor and a variable interest rate. Maged El Ayouti، Co-Head of Investment Banking at EFG Hermes، commented on the issuance، saying، 'We are delighted to support Hermes Securities Brokerage Company (HSB) in closing its sixth issuance، which marks the first in its ambitious EGP 3 billion program، leveraging the synergies within EFG Holding. This issuance is a testament to our ongoing commitment to fostering sustainable growth within Egypt's financial markets as we continue to deliver innovative financing solutions and attract substantial demand from an investor base in such issuances beyond commercial banks. As the leading investment bank in the MENA region's capital markets، EFG Hermes remains dedicated to unlocking valuable investment opportunities for our clients across debt and equity markets.' This transaction marks the latest in a series of debt issuances advised by EFG Hermes in the region. Most recently، EFG Hermes advised on Bedaya's sixth securitization issuance worth EGP 1.64 billion. It also advised Valu on its 14th securitized bond issuance، worth EGP 463.3 million، as well as the fifth securitization for Bedaya، valued at EGP 1.78 billion. The firm also concluded advisory on Sylndr's EGP 300 million working capital facility، in addition to a short-term note valued at EGP 433 million for EFG Corp-Solutions. EFG Hermes acted as the sole financial advisor، transaction manager، book-runner، underwriter، and arranger for the issuance. Commercial International Bank (CIB) acted as the placement and subscription bank. Legal advisory services were provided by Dreny & Partners، while KPMG was appointed as the auditor for the issuance.
El Fagr
6 days ago
- Business
- El Fagr
Valu Closes its 15th Securitized Bond Issuance، Worth EGP 1.036 Billion
Valu، MENA's leading universal financial technology powerhouse، announced today that it has finalized its 15th securitized bond issuance، worth EGP 1.036 billion، with EFG Hermes، an EFG Holding company and the leading investment bank in the Middle East and North Africa (MENA)، this brings Valu's total securitizations value to EGP 12.3 billion. The issuance is the fifth under the newly approved securitization program، which is worth a total of EGP 16.0 billion. The bond is backed by a receivables portfolio assigned to EFG for Securitization، the issuance's special purpose vehicle (SPV)، with a 10-month bond، a Prime 1 (sf) rating، and a fixed interest rate. Karim Riad، CFO of Valu، commented، 'This transaction is a testament to our long-standing and strategic partnership with EFG Hermes. As we continue to scale and diversify our operations، securitization remains a vital component of our funding strategy، enabling us to deliver more innovative financial solutions and reach wider segments of consumers in Egypt and beyond.' Maie Hamdy، Managing Director - Debt Capital Markets at EFG Hermes، added، 'Our fifth issuance under Valu's EGP 16 billion program reflects the deep trust and consistent collaboration between both institutions. This deal highlights our unmatched structuring capabilities and our ability to tailor complex capital market transactions to support the high growth trajectory of fintech pioneers like Valu.' EFG Hermes served as the sole financial advisor، transaction manager، bookrunner، underwriter، and arranger on the issuance. Arab African International Bank (AAIB) acted as the underwriter and custodian bank. Dreny & Partners was the legal advisor، and Baker Tilly was the auditor.
