حفلة 2024

EFG Hermes, Madinet Nasr for Housing sign sale and leaseback deal

Egyptian investment bank EFG Hermes announced on Sunday that it had signed a sale and leaseback agreement worth 750 million Egyptian pounds ($47.7 million) with real estate developer Madinet Nasr for Housing and Development (MNHD).

EFG’s Investment Banking division acted as the financial advisor for the transaction, which will also encompass a few securitisation issuances as follow-on transactions. EFG Hermes Corp-Solutions, a wholly-owned subsidiary of EFG Hermes Holding, acted as the lender.

“… with this transaction being a constituent element to our strategy to form lucrative partnerships across key industries, cross-sell our products and services to our partners, and aid companies in meeting their ever-growing funding needs.” said Maged El Ayouti, managing director and deputy head of Investment Banking at EFG Hermes.

Abdallah Sallam, CEO of Madinet Nasr for Housing and Development, said: “This transaction is part and parcel of MNHD’s newly introduced leadership strategy to expand its operational footprint, as the Company continues to develop high-quality housing projects spanning across the country,”

“Our ongoing partnership with EFG Hermes enables us to raise and deploy capital more efficiently and unlock a magnitude of expansion and development prospects for the Company.”

This transaction with MNHD comes on the heels of a 750 million pound sale and leaseback agreement EFG Corp-Solutions signed with real estate powerhouse Misr Italia Properties last October, with the purpose of refinancing the real estate development firm’s landmark property Garden 8 Mall.

“It gives us great honour to have concluded our first transaction with MNHD, who come with great history that started in the 1960s and continues to foster growth across the Egyptian real estate sector today,” said Talal El Ayat, CEO of EFG Hermes Corp Solutions.

“This transaction has enabled us to further strengthen our strategy in developing a one-stop-shop for our clients at EFG Hermes Holding.

“Offering financing opportunities to real estate developers creates business prospects for numerous supporting sectors within the real estate supply chain, thus supporting the government’s mega plan to increase housing opportunities for Egypt’s growing population.”

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