The New Urban Communities Authority’s (NUCA) has closed the first securitization worth EGP 15bn from a multi-issuance programme worth EGP 30bn.
The issuance was backed by a receivables portfolio originated by the NUCA and was comprised of four tranches: Tranche A amounts to EGP 1.710 billion rated Prime 1, Tranche B amounts to EGP 6.060 billion rated AA, Tranche C amounts to EGP 5.820 billion rated AA-, and Tranche D amounts to 1.410 billion rated A- from the Middle East Ratings and Investors Service (MERIS).
Dreny & Partners worked along with the Commercial International Bank (CIB), CI Capital and Al Ahly Pharos, who acted as the financial advisors of the transaction. CIB, Banque Misr, the National Bank of Egypt (NBE) and Banque du Caire acted as underwriters. In addition, CIB acted as the Custodian and bookrunner. Baker Tilly acted as the auditor of the transaction.
It is worth mentioning that this breakthrough transaction is considered one of the most significant transactions that took place this year, and was guaranteed by the Egyptian Ministry of Finance (MOF). It marked a landmark debt capital market deal in Egypt.
Imane Raouf, Partner, Head of Capital Markets and Financial Services commented: “We are delighted to have taken part in the completion of such a significant transaction.” Raouf added: “I would like to take this opportunity and thank everyone who contributed to this successful closing, especially our devoted team for their invaluable efforts, professionalism and diligence in achieving this milestone closing the issuance, and looking forward to many yet to come.”
