CI Capital concludes second EGP 859m securitized bond issuance for Aman Financial Services

(Cairo – July 2023)

CI Capital, a diversified financial services group, announced Tuesday the successful conclusion of the second securitized bond issuance worth EGP 859m for Aman Financial Services.

The issuance came in four tranches. The first tranche, valued at EGP 275m, has a tenor of six months and received a Prime 1 rating from Middle East Ratings and Investor Services (MERIS). The second tranche, valued at EGP 161m, also has a tenor of six months and received a Prime 1 rating. The third tranche, valued at EGP 175m, has a tenor of 13 months and received an AA+ rating. The fourth tranche, valued at EGP 248m, has a tenor of 24 months and received an A rating.

“CI Capital continues to reinforce its stellar advisory track record with the conclusion of consecutive high-profile transactions,” said Amr Helal, Chief Executive Officer (Sell-Side) of the Investment Bank at CI Capital.

“Our team has diligently worked towards solidifying CI Capital’s position as Egypt’s leading advisory house across ECM, DCM, and M&A. Our investment banking division has proven its leadership when it comes to debt issuances, having concluded several back-to-back issuances on behalf of both public and private sector entities across different industries.”

“The Egyptian debt capital market is poised for more future growth,” said Mohamed Abbas, Head of DCM at CI Capital. “This is amidst a positive market outlook and the support of the Financial Regulatory Authority, increased recognition of debt issuances as an important financial tool for companies, and a compelling investment opportunity for fixed income investors.”

“Moreover, Egypt’s consumer finance sector continues to grow,” Abbas added. “According to the latest data from the Financial Regulatory Authority, financing in the sector increased by 43.1% year-on-year during the first four months of 2023, and total clients increased by 28.2% year-on-year as of April 2023.”

CI Capital acted as a financial adviser, issuance manager, and lead arranger in the issuance. The National Bank of Egypt (NBE) and First Abu Dhabi Bank (FAB) played the role of underwriters. Zaki Hashem & Partners acted as the legal advisor and United for Auditing, Tax, Advisory & Financial Services (UHY) acted as the issue’s financial auditor.

Worth noting that during February, CI Capital had previously concluded the First Securitized Bond Issuance worth EGP 403.4m for Aman Financial Services as Part of a Three-Year EGP 5bn program.