- EBRD plays key role in helping Turkey’s Ülker to raise new funds
- Leading biscuit maker secures US$ 455 million from eight lenders despite market volatility
- Working remotely, EBRD remains open for business
Backed by the EBRD, leading Turkish confectionery producer Ülker Bisküvi Sanayi AŞ has overcome global market turbulence and secured international funding to continue smooth operations and further expansion in Turkey and abroad.
The company raised a US$ 455 million financing package with a three-year maturity. It consists of a syndicated facility of US$ 374 million and a parallel loan of €75 million provided by the EBRD, the largest lender among eight international financiers in the transaction.
Arvid Tuerkner, EBRD Managing Director for Turkey, said: “Despite the challenges caused by the coronavirus, the EBRD remains opens for business. Working remotely, we stand by our clients and are committed to supporting them in the most difficult times. We are pleased that the EBRD’s participation in this transaction has provided additional comfort to investors, enabling Ülker to raise funds to continue smooth operations and pursue new growth opportunities at home and abroad.”
One of Turkey’s best-known confectioners, Ülker produces biscuits, cakes, wafers, chocolate bars and chocolate-covered biscuits. It sells products throughout Turkey and exports to Europe, North America, Africa, Asia and the Middle East.
The new funds will help refinance previous syndicated loan facilities maturing in April 2020 and will be used for strategic investment projects.
The EBRD has previously provided a total of €100 million to support Ülker’s operations in Turkey and Kazakhstan.
Helping successful Turkish companies such as Ülker to further improve their competitiveness is part of the EBRD’s effort to support Turkey’s economy.
The new transaction was led by Bank of America as the global coordinator, bookrunner and initially mandated lead arranger, along with Rabobank U.A., and Emirates NBD Capital Limited.
The EBRD is a major investor in Turkey. Since 2009 it has invested almost €12 billion in various sectors of the country’s economy, with almost all investment in the private sector. The EBRD’s €6.7 billion Turkey portfolio is the largest among the 38 economies where the Bank invests.