Talal Al-Ayat, CEO of Hermes Financing Solutions, said that the company aims to issue EGP 2.5bn worth of securitization bonds during the current year, explaining that the issuance will come in three segments.
The company’s total financing portfolio, including financial leasing and factoring activities, has now jumped to about EGP 8.2bn.
He told Daily News Egypt that the disruption in the movement of supply chains has postponed some financial leasing contracts, especially those related to imported products.
During the month of June 2020, the Financial Group Hermes Holding merged the two financial leasing and factoring companies into a new entity that provides both services, whether for small, medium or large companies, under the name The Financial Group for Financing Solutions, with a net portfolio then amounted to EGP 4bn.
Last March, Hermes Financing Solutions signed a sale and leaseback agreement worth EGP 600m in favor of LMD to finance construction work on the 3Sixty commercial project, which includes administrative offices, medical clinics and commercial buildings.
Under the agreement, the financing package will be provided in two tranches, as the first tranche was delivered last January and the second tranche was delivered this March.
The agreement will allow LMD to quickly and continuously implement construction work on the commercial project, thus enhancing its ability to commit to delivering its projects on time.
