NBE, Banque Misr, CIB complete lease-backed securitization

Egypt’s largest banks, National Bank of Egypt (NBE), Banque Misr, and Commercial International Bank (CIB) have completed Monday running the launch of a lease-backed securitization bond issue.

NBE, Banque Misr, and CIB act as arrangers, underwriters, custodians, and back-up servicers of Corporate Leasing Company’s (Corplease) securitization bond issue worth 1.148 billion Egyptian pounds ($61.3 million).

Aimed to secure liquidity to carry out Corplease’s expansion plans, the bonds will be issued through four tranches at various values and maturity dates ranging between one year and seven years.

This is the sixth securitization transaction issued by Egyptian Securitization Company (ESC), originated by CorpLease, said NBE deputy chairman Mahmoud Montasser.

NBE’s contribution to the bond issue amounts to 456 million pounds, representing 40 percent of the total offering. Banque Misr and CIB’s contributions are 382 million pounds or 33 percent and 309 million pounds or 27 percent, respectively.

The securitization bond was rated AA by MERIS, Montasser added.

Founded in 2004, CORPLEASE is a local leasing and asset finance company. Its main shareholders are Egypt’s CIB, Germany’s DEG, and France’s UBAF.