Deem and J.P. Morgan partner with a USD 400 mln securitisation facility

J.P. Morgan will be providing up to USD 400 million through a senior revolving facility backed by a pool of receivables originated by Deem across various asset classes. The transaction will allow funding to adjust to growth in the portfolio size and composition to support Deem’s growth plans.

Access to credit for underserved communities

This collaboration aligns with Deem’s mission to improve financial accessibility and inclusion in the region. By diversifying its funding sources with long-term institutional financing, the company improves its ability to address underserved customer segments. This contributes to the advancement of the UAE’s non-bank financial sector, aligning with the nation’s vision to create a more dynamic and well-regulated financial ecosystem.

Daman Investments, a regional investment firm, acted as a financial advisor for Deem, helping it structure and execute its ABS facility. Leveraging its experience in structured finance, Daman Investments offered advisory support across collateral analysis, cash flow modelling, regulatory matters, legal documentation, and operational implementation.

By leveraging its expertise in collaboration with J.P. Morgan, Deem can expand while improving access to credit for consumers and SMEs in the UAE. The company notes its appreciation for the UAE Central Bank for its support and regulatory guidance that fostered an optimised financial ecosystem. The initiative reinforces Deem’s vision to address the needs of underserved communities in the UAE and grow over the coming years.

J.P. Morgan aims to offer access to credit locally as this is a key advantage for the economy and it aligns with its mission of supporting SMEs. The company aims to expand and improve on its partnership with Deem.