Drive Finance Completes EGP 1.5bn Bond Issuance
Drive Finance, a subsidiary of GB Capital and the non-bank financial services division of GB Corp, has successfully finalized a bond issuance amounting to EGP 1.5 billion with a maturity period of 13 months.
Strategic Funding Diversification
This bond issuance is a crucial element of Drive Finance’s strategy aimed at diversifying funding sources, enhancing its capital structure, and supporting continued growth, especially in consumer finance and factoring sectors.
Management Insights on Growth Plans
Ahmed Ossama, the Managing Director of Drive Finance, remarked, “The successful completion of this issuance represents a significant milestone in our efforts to bolster our funding capabilities and facilitate our sustainable growth initiatives.”
He emphasized the importance of utilizing capital market instruments, stating that they improve the company’s financial agility and its capacity to adapt to changing customer demands.
Resilience Amid Economic Challenges
In spite of the prevailing macroeconomic challenges, this transaction showcases Drive Finance’s robust financial standing and strong market position.
Remon Gaber, Head of Treasury at Drive Finance, noted, “The successful execution of this issuance in light of current economic conditions and geopolitical uncertainties underscores our financial strength and creditworthiness,” referencing the company’s ‘A-’ credit rating.
Advisory and Legal Support
The transaction engaged a comprehensive advisory team, with CI Capital serving as the issuance manager and promoter. Legal guidance was provided by Matouk Bassiouny & Hennawy, while Middle East Rating and Investors Service (MERIS) conducted the credit rating assessment. Baker Tilly acted as the independent auditor for this issuance.
Discussion about this post