TWF successfully completes 1.1 billion euro syndicated loan

ANKARA

Türkiye Wealth Fund (TWF) on March 15  successfully secured a syndicated loan of 837 million euros and $285 million, with a two-year maturity, for the first time without a Treasury guarantee.

The transaction, involving 20 banks from 12 countries, reaffirmed international confidence in Türkiye’s economy, the fund said in a statement on March. 25.

The total cost of the loan was set at an annual Euribor +2 percent for the euro tranche and an annual SOFR +2.25 percent for the U.S. dollar tranche.

As a response to the strong investor demand which is more than twice of the 2023 syndication amount, TWF added a U.S. dollar tranche to this year’s syndicated loan for the first time, the statement added.

Similar to the loans obtained in 2019, 2021 and 2023, the transaction was structured with a two-year maturity, and reached a total of 1.1 billion euros across two tranches.

The new loan achieved a 139 percent rollover rate compared to the maturing 2023 facility, according to the fund.

TWF’s Eurobond issuance in February 2024 and Sukuk transaction in October 2024 also attracted significant interest from international investors, the statement said, adding that this latest syndicated loan further reinforced global financial institutions’ confidence in TWF.

Additionally, the number of participating banks increased with 11 new banks from 4 different countries, bringing the total to 20.