Enerjisa Uretim signs the largest Sustainability-linked Loan Deal in Turkey
Sep 21, 2020, 08:52 ET
ISTANBUL, Sept. 21, 2020 /PRNewswire/ -- Enerjisa Uretim , the leading power generation company in Turkey, signed a 650-million-Euro worth sustainability linked loan agreement with 7 banks. Strengthening its already concrete financial statement, the company both reduced the total amount of debt with this contract provided great support to its renewable energy investments that it will take over in the following periods with the agreement. Ihsan Erbil Bayçöl, CEO of Enerjisa Uretim, stated: "Last year, we got the opportunity to increase our total generation capacity to 4,107 MW with the capacity that we were awarded in the second Renewable Energy Resources Zones (YEKA) tender. We will continue our investments and activities 'with the purpose of creating a sustainable value' by reassuring all of our stakeholders."
As part of the Agreement, Enerjisa Üretim will benefit from the Sustainability-linked Loan Mechanism, one of the sustainable debt instruments which has not lost any momentum despite the pandemic with a total volume exceeding 1.5 trillion USD in August. Enerjisa Uretim also announced that sustainability works in two major fields will be accelerated as part of the agreement. The company made a commitment to significantly increase the share of renewable energy within its power investment portfolio and will be working towards reaching the best international standards in gender equality. The agreement, which will contribute in the achievement of the company's goals for the forthcoming periods, strengthened the already concrete financial statement of Enerjisa Uretim more, also enabled Enerjisa to strengthen its provision by replacing long-term loans.
Seven banks including Akbank, Garanti BBVA, Turkiye Is Bankasi, HSBC, ING, TEB and Isbank AG, will offer financing in line with the requirements of Sustainability Linked Loan Mechanism.
Concrete proof of confidence in energy markets
Joint announcement made by the banks participating to the loan read as follows: "This agreement is a significant indicator of our confidence in Turkey and Turkish energy markets. It is a source of pride for us to see Enerjisa Uretim, the leading player in the sector, invest particularly in the renewable growth, while regularly generating cash today with its well-balanced financial statement." Underlining the potential of Turkey particularly in wind and solar areas, banks stated that they would continue to support growth projects in this area.
Ongoing growth in renewable energy
İhsan Erbil Bayçöl, CEO of Enerjisa Uretim: "Enerjisa Uretim has a high generation performance as well as a strong cash flow. Today, we continue generating for uninterrupted power supply with our 21 power plants, 56% of which are consisting of national and renewable resources... We attach utmost priority to sustain the increasing trend as well as achieving new investments in renewable energy area, which is also a strategic priority. We will continue our investments and activities 'with the purpose of creating a sustainable value' by reassuring all our stakeholders. I would like to thank all the banks that we have been in valuable collaboration with for their confidence in us during this growth journey."
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SOURCE Enerjisa Uretim
