Palm Hills Developments Commence Regulatory Procedures Related To Its Second Securitization Of Receivables Transaction Including The Issuance Of Securitized Bonds By Up To EGP700 Million
Palm Hills Developments (“PHD” or “the Company”) commence regulatory and technical procedures related to the issuance of Securitized Bonds (“the Bonds”) by up to EGP700 million, as part of the Company’s plans to deleverage its Balance Sheet via monetizing receivables of up to c.EGP2.5 billion over 2-3 years period.
The Company is currently processing necessary procedures including obtaining all required regulatory approvals and the Bonds’ Credit Rating. The second securitization transaction is foreseen to close before the end of 2017 for a total consideration of c.EGP600-700 million in receivables relating to delivered units in some of the Company’s projects. The Bonds will have an expected tenor up to 5 years. The transaction proceeds will be mainly utilized in refinancing existing debt, in the form of non-recourse off Balance Sheet financing. The process is being managed by Sarwa Capital.
