ALC advises on valU’s EGP 1.4 bn securitized bond issuance

valU, a lifestyle-enabling fintech platform, has closed its fifth securitized bond issuance worth EGP 1.42 billion. This issuance is a crucial part of valU’s growth strategy to solidify its position as a comprehensive financial services powerhouse. The bond is backed by a receivables portfolio and structured into two tranches: Tranche A valued at EGP 946.3 million with a 12-month tenor, and Tranche B valued at EGP 476.7 million with a 36-month tenor.

This marks valU’s second issuance this year and the fifth successful collaboration with EFG Hermes. The partnership demonstrates valU’s commitment to diversifying funding sources as it expands operations and strengthens its presence in the fintech landscape.

ALC-Alieldean Weshahi & Partners acted as legal counsel with an advisory team led by managing partner Bahaa Alieldean (pictured), partner Mahmoud El Araby, associate Mahmoud EL-Gazzar and junior associate Mohamed Gamal.

EFG Hermes acted as the sole financial advisor, transaction manager, and book-runner for the issuance. It was also the issuance underwriter alongside Arab African International Bank (AAIB) who served as an underwriter and custodian bank, and Arab Banking Corporation (ABC) and aiBANK were subscribers to the bond. KPMG provided auditing services.