Turkcell signs record $3 bln unsecured syndicated loan
Posted by meb at February 27th, 2007
Turkcell, the leading provider of mobile communications in Turkey, announced yesterday that it successfully closed the US$3 billion unsecured syndicated term loan facility with Akbank T.A.Ş., Citibank, NA., Garanti Bankası A.Ş., HSBC plc, J.P. Morgan plc and Standard Bnak plc as Initial Mandated Lead Arrangers (“ Initial MLA’s) and underwriters. This amount is the largest unsecured syndicated loan facility closed by a single corporate ever in Turkey.
The Facility was structured as a senior unsecured term loan facility in Tranches A, B and C of US$1 billion each and with maturities of 3, 5 and 7 years respectively. Only Tranches A and B were syndicated; Tranche C was fully subscribed by Akbank T.A.Ş. and Garanti Bankasi A.Ş., and is structured as an amortising facility with commercial terms in line with those of Tranches A and B.
The Facility was signed on 26 February 2007 in İstanbul, Turkey. Citibank, N.A., HSBC Bank plc, J.P. Morgan plc and Standard Bank Plc acted as Joint Bookrunners on the Facility.
Speaking first at the signature ceremony, Turkcell CEO Süreyya Ciliv noted that Turkcell, as a communication and technology company, was going to use this loan for potential investment opportunities. He added that the loan would significantly accelerate Turkcell’s continued growth in the times ahead.
Zafer Kurtul, the General Manager of Akbank said that “Both the amount and terms of this syndication loan that Turkcell has secured are the indication of the confidence in Turkcell and our country’s economy.Turkcell has shown tremendous performance in becoming one of the biggest companies in Turkey in a short term. The facility that will be used for the finance of Turkcell’s international investment, is also a great indicator of Turkcell’s future growth intention.”
HSBC General Manager Piraye Antika said “Turkcell had displayed an extremely successful performance since establishment and has become the pride of Turkey on a global scale. She added that the broad interest shown in this loan agreement was a testimony to Turkcell’s strength and reputation in the international finance markets as well as the quality of its relations with the international banking community”. Antika concluded by thanking the initial mandated lead arrangers.
CEO of Garanti Bank, Ergun Özen stated that “As we all know, Turkcell, with its leading position in the communication sector in Turkey and the region, innovative approaches and strong financial structure is a company that the banks compete to grant credits for. We believe that this syndication loan will be used to support Turkcell in carrying out their success in Turkey and the region to the international markets.This is the largest loan that Garanti has ever provided to Turkish company till now.”
The Facility will be used for general corporate purposes of Turkcell and its consolidated subsidiaries, including potential acquisitions and strategic investments for international expansion. The Facility will be made available in US Dollars.
The bank group, a diverse selection of Turkish and international lenders, is a testimony to Turkcell’s broad appeal and evidence of continued strong demand for top quality Turkish names.
The syndicate comprises:
Initial Mandated Lead Arrangers Akbank T.A.S Citibank, N.A.
Garanti Bankasi A.S.
HSBC Bank plc J.P. Morgan plc Standard Bank Plc
Mandated Lead Arrangers
Turkiye Is Bankasi A.S.
Abu Dhabi Commercial Bank
Turkiye Halk Bankasi A.S.
BayernLB KfW IPEX-Bank Bank Sinopac
Senior Lead Arrangers
ABN AMRO Bank N.V.
Commerzbank International S.A. Luxembourg Fortis Bank SA/NV Societe Generale Corporate & Invetsment Banking
Lead Arrangers
CALYON Alpha Bank A.E.
Alternatifbank A.S Finansbank (Malta) Limited Arab Banking Corporation Barclays Bank PLC Credit Suisse Danske Bank A/S Dexia Credit Local, Dublin Branch EFG Private Bank (Luxembourg) S.A.
Emirates Bank International PJSC Europe Arab Bank plc IntesaSanpaolo S.p.A.
Qatar National Bank SAQ, Paris branch TSKB A.S., Bahrain Branch
HVB Banque Luxembourg Societe Anonyme Banque de Commerce et Placements Allied Irish Banks, plc The Arab Investment Company S.A.A. (OBU)
source: The New Anatolian
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