Valu, a prominent financial technology company in the MENA region, has successfully completed its sixth securitized bond issuance in collaboration with EFG Hermes. The issuance, valued at EGP 922.3 million, is part of a renewed short-term program and is supported by a receivables portfolio assigned to EFG Hermes’ Financial Group for Securitization, serving as the issuance’s Special Purpose Vehicle (SPV). This move further enhances Valu’s liquidity position and reinforces its position as a comprehensive financial solutions provider.
Key Points:
- Valu, a leading fintech firm in the MENA region, has closed its sixth securitized bond issuance in partnership with EFG Hermes.
- The issuance, valued at EGP 922.3 million, is part of a renewed short-term program and is backed by a receivables portfolio assigned to EFG Hermes’ Financial Group for Securitization, acting as the issuance’s Special Purpose Vehicle (SPV).
- The securitization comprises a single tranche with a 12-month bond tenor, carrying a value of EGP 922.3 million and a Prime 1 (sf) rating.
- This marks Valu’s third issuance in the current year and the sixth completed in partnership with EFG Hermes.
- Valu’s evolution from a Buy-Now-Pay-Later (BNPL) platform into a comprehensive fintech powerhouse has established it as a prominent name in Egypt, offering a range of financial solutions through five distinct verticals: U, Business, Akeed, Flip, and Invest.
Analysis: Valu’s successful securitized bond issuance reflects its commitment to making finance more accessible and inclusive in the MENA region. This move, in collaboration with EFG Hermes, not only strengthens Valu’s financial position but also supports its growth trajectory, aligning with its mission to offer innovative financial solutions to a broader audience.
Background: Valu has emerged as a key player in the MENA fintech landscape, expanding from a BNPL platform to a comprehensive financial technology provider. With a focus on inclusivity and empowerment, Valu offers a range of financial solutions, including investment products, instant cash redemption, and savings options, catering to diverse financial needs. The partnership with EFG Hermes underscores the robust collaboration between the two entities in driving financial innovation in the region.