Palm Hills Developments concludes EGP 2.015B securitization issuance

Updated 2/4/2026 3:36:00 PM

Arab Finance: Palm Hills Development Company and EFG Hermes jointly announced the closing of an EGP 2.015 billion securitized bond issuance, according to a press release.

This marks the first issuance under the real estate developer’s newly approved EGP 30 billion securitization program.

The issuance is structured across four offerings, with tranche A valued at EGP 423.15 million, holding a tenor of 13 months and a credit rating of AA+.

Tranche B, valued at EGP 906.75 million, carries a maturity period of 36 months and a credit rating of AA.

Holding a 60-month tenor and a credit rating of A+, tranche C stands at EGP 594.425 million.

Tranche D is valued at EGP 90.675 million with a tenor of 84 months and a credit rating of A-.

Maie Hamdy, Managing Director, Debt Capital Markets at EFG Hermes, commented: “The successful execution of this transaction reflects the continued depth of investor appetite for high-quality, well-structured real estate-backed instruments, as well as the strength of PHD’s underlying portfolio.”

She added: “This issuance further reinforces EFG Hermes’ leadership in Egypt’s debt capital markets and our continued commitment to delivering bespoke financing solutions that support our clients’ long-term growth strategies.”

Ali Thabet, Chief Financial Officer of Palm Hills Developments, said: “The strong investor interest anticipated for this transaction reflects the market’s confidence in Palm Hills’ financial performance and growth outlook. We are looking for another transaction within the securitization program this year as we remain focused on leveraging such financing to expedite construction pace in our projects.”

EFG Hermes acted as the sole financial advisor, sole bookrunner, and underwriter for the transaction.

ALC-Alieldean Weshahi & Partners was the legal advisor, while KPMG acted as the auditor.

The National Bank of Egypt (NBE) and Suez Canal Bank participated as underwriting banks.

Meanwhile, Arab Banking Corporation (ABC) and Emirates NBD were the subscribers. Suez Canal Bank is acting as the transaction’s custodian, while NBE is serving as the placement agent.