While Latin America is certainly not dead when it comes to emerging-market securitizations (see Banistmo, p.18), there does appear to be a volume shift towards the East. The bulkiest deals this year have sprung from Russia and Turkey and now Egypt is joining the mega-league. In the works is a $1 billion transaction from state-owned Egyptian General Petroleum Corp. (EGPC), with BNP Paribas, Merrill Lynch and Morgan Stanley as joint book runners, according to sources. Morgan is also global coordinator.

The transaction will most likely be cut from the same cloth as energy receivables deals issued by Latin American energy giants Petroleos de Venezuela (PDVSA)and Petroleos Mexicanos (Pemex). But its size should handily eclipse most deals in the sector. The largest oil-backed transaction in recent memory came from Brazil's Petrobras, a market stalwart that issued $750 million in a two-part bond during May 2003.

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