Helmy, Hamza & Partners, Baker McKenzie's Cairo office, recently acted as legal counsel to Pioneers Properties for Urban Development, a top tier real estate developer in Egypt, on a securitized bonds issuance for a real estate project. The total value of the bonds issuance was EGP 425 million, divided into four tranches. The first and second tranches are divided into fixed instalments, with the third and fourth tranches to be disbursed contingent on the proceeds of the portfolio. The transaction was finalized on 21 July 2022.
This is the second issuance in the Pioneer Properties EGP 3 billion securitization bond program, which is divided into six issuances. The Helmy, Hamza & Partners, Baker McKenzie team also advised on the first issuance, which was approved by the Financial Regulatory Authority in January 2022, for an amount of EGP 627.5 million, encompassing three tranches.
Managing Partner Mohamed Ghannam said: “This issuance is significant as it reflects the trust of the investors in the issuance program - the subscription was fully covered on the same day. We are delighted to have acted for our client, Pioneers Properties, on this transaction, as they continue to expand their impressive footprint in Egypt.
"Our team of capital markets, banking and finance and real estate legal specialists is proud to have assisted Pioneer Properties on these two ground-breaking financial transactions and looks forward to working with this real estate powerhouse again soon, as they forge ahead in Egypt's rapidly growing real estate sector," said by Counsel Mostafa El Sakaa.
The financial advisor, arranger, book runner, and underwriter of the transaction was EFG Hermes’ investment banking division.
The Helmy, Hamza & Partners, Baker McKenzie Cairo transaction team was led by Managing Partner Mohamed Ghannam and Counsel Mostafa El Sakaa, and comprised Capital Markets Specialist Sameh Belal, Associates Walid Enany and Mohamed El Hossamy along with Paralegal Malak Abou Senna. Associate Ahmed Shehata from the Banking & Projects team was also part of the team that contributed to the success of this deal.