Türk Telekom issues $500 mln sustainability bond

ISTANBUL

Türk Telekom has announced that it successfully issued its inaugural Sustainable Eurobond, raising $500 million.

The overwhelming demand from institutional investors, approximately five times the size of the issuance, underscores foreign investors' interest in Türk Telekom's investment case and their confidence in the management team, the company said in a statement.

Türkiye’s telecom giant became the first non-financial corporate to issue a Sustainable Eurobond.

The company said it engaged with over 55 investors from the U.K., Europe, Asia and America during the deal roadshow, generating significant interest.

The demand, spanning across Asia, the Americas, the U.K. and Europe, with nearly half of the concentration in the U.K. and the U.S., showcased a diverse investor base comprising of high-quality Emerging Markets investors with a long-term perspective, said Türk Telekom.

Some 38 percent of allocations went to investors buying the bond for dedicated Environmental, Social and Governance (ESG) funds.

The proceeds from the issuance will finance Türk Telelom’s investments in various green initiatives, said Kaan Aktan, Chief Financial Officer at the company.

“Our investments in environmentally friendly technologies will continue to grow stronger with our financing strategy now aligned with our sustainability objectives,” he added.