Al Baraka Capital announces the successful conclusion of a securitization bond issuance for GlobalCorp for Mortgage and Consumer Finance “OLLIN” with a total value of EGP 3.31 billion

alBaraka Capital, the investment arm of alBaraka Bank Egypt, announced today the completion of the largest securitized bond issuance in the history of the Egyptian mortgage finance sector for GlobalCorp for Consumer and Mortgage Finance “OLLIN” valued at EGP 3.31bn. The issuance is the first within the third program for GlobalCorp for Mortgage and Consumer Finance “OLLIN,” which carries a total value of EGP 20bn.
The issuance for GlobalCorp (OLLIN) comes in three tranches: the first tranche is valued at EGP 1,580mn with a tenor of 25 months, received an AA+ credit rating from Middle East Rating & Investors Service (MERIS). The second tranche is valued at EGP 955mn with a tenor of 37 months, received an AA credit rating, while the third tranche is valued at EGP 775mn with a tenor of 49 months, received an A- credit rating.
Amir Sherif, CEO of alBaraka Capital, expressed his pleasure with the success of the firm’s inaugural issuance, stating, “This step represents alBaraka Capital’s first transaction in the debt capital markets space. This sector is a core objective for the Company given the market growth driven by the Financial Regulatory Authority’s (FRA) continuous efforts to develop the legislative environment, which have led to an increase in issuance volumes and enabled investment banks to bring more companies to the market to diversify funding sources and hedge against interest rate risks. We remain committed to achieving a leading status in light of the team’s expertise and track record in the Egyptian market.”
Mohamed Shaaban, Head of Debt Capital Markets at alBaraka Capital, stated, “We aspire to leverage the team’s collective expertise in debt issuances to establish a leading track record in the Egyptian market. alBaraka Capital aims to focus on vital economic sectors featuring companies whose business models rely on diversified funding sources, interest rate hedging, and the continuous enhancement of their financial positions. I would also like to express my gratitude to all parties involved for their roles in concluding this issuance.”
alBaraka Capital acted as the financial advisor, lead manager, arranger and bookrunner in cooperation with Arab African International Bank (AAIB), Commercial International Bank (CIB), and Al Ahly Pharos. Dreny & Partners acted as the legal advisor, while Baker Tilly served as the transaction auditor. Furthermore, Commercial International Bank (CIB), alBaraka Bank, Housing and Development Bank (HDB), Bank ABC, and Al Ahli Bank of Kuwait (ABK) acted as the issuance underwriters and participants. Arab African International Bank (AAIB) acted as the custodian, and the National Bank of Egypt (NBE) acted as the placement agent.
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