The Board of Directors at Palm Hills Developments approved, in its meeting on Tuesday, the company’s plan to finance the Badia project by issuing  bonds compatible with the Islamic Sharia, at a value of EGP 3.251bn, in cooperation with Tharwa Securitization Company.

Sources expected Sukuk would be issued during the first quarter of this year after completing all the required papers and submitting them to the Financial Regulatory Authority to obtain the final approval.

The sources told Daily News Egypt that the Merris credit rating company is about to complete the study of the financial structure of the instrument, as well as its credit rating, provided that it is submitted to the financial supervision to obtain the final approval of the issuance.

Tharwa Securitization Company assumes the role of the offering manager and general promoter, while Misr Capital and Banque Misr play the role of underwriter and payment agent for the issuance, Ali El Din El Weshahy’s office as a legal advisor, and Hazem Hassan and Partners the role of financial controller.

Tharwa signed an agreement earlier with Banque Misr and Misr Capital, the investment arm of Banque Misr, to assume the role of promoter, underwriter and payment agent for the upcoming issuance of sukuk to Palm Hills.