DAAM Tamweel Issues Bond Note without Public Savings Appeal
The Financial Center for Entrepreneurs, operating under the commercial name DAAM Tamweel, has published the bond note for its "Daam 2024-1" bond issue, without resorting to a public savings appeal. The Board of Directors has obtained authorization from the General Assembly of Shareholders to issue debt securities up to 63 billion Tunisian dinars (Mtnd), including 13 Mtnd already voted since 2022 and valid until 2027. The objective is to consolidate medium- and long-term resources and support the growing activity of DAAM Tamweel under the best conditions.
Bond Issue Details
The announced operation aims to mobilize 15 Mtnd, with the possibility of increasing the amount to a maximum of 20 Mtnd. A single maturity of 5 years is offered, with two possible interest rates: a fixed rate of 11.0% gross (or 8.8% net per annum) and a variable rate of TMM + 3.1%. Indicatively, and based on current data, this corresponds to a net return of 8.86%. The amortization will be constant and will begin from the first year. Annual interest payments and capital repayment will be made on the due date of November 16th of each year.
Subscription and Payment Terms
Subscriptions and payments for this bond issue will open tomorrow, August 23rd, 2024, and will close no later than November 16th, 2024. They cannot be made on behalf of OPCVM (Open-Ended Investment Companies) or managed accounts. Closure without notice is possible as soon as the maximum issue amount (20 Mtnd) is fully reached.
Important Notes
The bond issue is not guaranteed and is not rated. The high interest rates reflect a higher risk than that of other current market participants. Although we do not doubt the quality of DAAM Tamweel's fundamentals, we believe that the publication of its financial statements will increase its chances of closing the operation more quickly.
