By Ramy Sameeh:
Cairo-Mubasher: Egypt’s Amer Group Holding will issue securitization bonds for its real estate portfolio in early January, said Riyad Refaat, head of financial sector.
Amer said on Thursday, in a statement to the stock market, that three of its subsidiaries have signed an assignment for the issuance of securitization bonds contracts worth EGP 201 million ($28 million).
The official said, in a phone interview with Mubasher that Tharwa Capital is currently working on finalizing all procedures related to the issue including obtaining the approval of Egypt’s market regulator, which will likely be within one week.
It will be the first time in Egypt for the issuance of securitization bonds for a real estate portfolio.
According to the official, the issuance is aimed at enabling a new channel for real estate financing in the local market, in addition to funding the group’s various projects like Porto Said and Porto October in Egypt, Porto Dead Sea in Jordan and Porto Agadir in Morocco.
Middle East Rating & Investor Services (MERIS) assigned a ‘AA+’ rating for the first tranche of Amer’s issue.
Amer had posted a surge by 1064% in consolidated net profit for the first nine months of FY14 to EGP 216.96 million, compared with EGP 18.63 million net profit in the same period a year earlier.
Amer said earlier this week it won approval to start building the $989.40 million Porto Dead Sea resort in Jordan over a period of seven years.
Translated by Sayed Abdel Rahman