B.TECH, the leading company specializing in home appliances, electronics, and consumer financing services in Egypt, has completed the issuance of its second series of securitized bonds worth approximately EGP1 bn, Invest-Gate reports.

These bonds were issued in two tranches concerning repayment priority, credit rating, and yield rate. The securitization process was entrusted to the Commercial International Bank (CIB) under a short-term bond program totaling EGP5 bn, following approval from the Egyptian Financial Regulatory Authority.

Moreover, the bonds were awarded a credit rating of P1/P1 (Prime one) due to the high-quality underlying portfolio, the highest-rated installment portfolio in Egypt, and other credit enhancements available to bondholders.

This second securitization operation arises from a successful strategic partnership between B.TECH and CIB, following the initial issuance of securitized bonds totaling EGP 1.038 bn earlier this year across three tranches.

Commenting on this development, Mahmoud Khattab, Chairman and Managing Director of B.TECH, expressed delight in the success of their collaboration with CIB in completing the second issuance under a program totaling EGP 5 bn.

Additionally, Amr El-Ganainy, Deputy CEO and Managing Director of CIB, affirmed that the success of this issuance confirms the bank’s strategy to support Egyptian market growth. It reflects investors’ interest in high-rated debt instruments and the Egyptian market’s capacity to absorb additional securitization issuances, offering diverse alternatives to traditional funding structures for various entities, private or governmental.

Manal Awadallah, Head of Bond and Loan Syndication and Debt Markets at CIB stated, “We are pleased to continue our successful partnership with B.TECH, completing the second issuance under a two-year short-term bond program totaling EGP 5 bn.

“This demonstrates our commitment to supporting companies operating across all sectors to invigorate the non-banking financial services and Egyptian bond markets by providing flexible investment solutions that attract more investors,” Manal added.