Egyptian developer Palm Hills signs financing deal with NBE

Egyptian property company Palm Hills said on Monday it had signed a financing deal worth 1 billion Egyptian pounds ($63.3 million) with the National Bank of Egypt (NBE).

The deal was signed at a competitive rate after utilising receivables from selling Palm Hills’ units under the ‘Ready to Move’ slogan, the company said in a filling to the country’s stock exchange.

The funds will enable Palm Hills to promote the sale of the units, with payment terms up to 10 years, according to the company’s chairman Yasseen Mansour.

“Sale proceeds of said units will be securitized in line with our previously adopted securitisation programme.” Mansour said.

“We reiterate that we are committed to meet the EGP1.5 billion net debt target by year end.”

Earlier this month, Palm Hills’ board approved the securitisation of 1 billion pounds and deferred the payment dues to the Egyptian Securitization Company.