Talaat Moustafa Group Holding (TMGH), GB Capital, and EFG Hermes have signed an agreement to launch a mortgage finance joint venture.
The new company will offer property units at competitive prices tailored for average Egyptian households, TMG Holding’s CEO Hisham Talat Moustafa stated, according to a company statement released on Wednesday.
“We know that several years of high inflation have eroded consumer purchasing power. And as Egyptians, we also know homeownership remains a cornerstone of a society that sees more than 900,000 couples each year marry and start new lives,” GB Auto’s chairman Raouf Ghabbour said.
The new JV’s paid capital will reach EGP 150 million and is expected to be increased gradually to EGP 250 million.
Talat Moustafa announced that TMG Holding activities would account for 90% of the volume of new JV’s business.
“This joint venture is the natural evolutionary step to help grow the mortgage business in Egypt and expand our non-bank financial services platform, which today includes leasing, microfinance, fintech-enabled consumer finance and factoring,” EFG Hermes Holding’s group CEO Karim Awad revealed.
The CEO and managing director of TMGH, Talat Moustafa, said that the real estate market in Egypt is not witnessing a slowdown in the current time.